Smith AO Corporation (AOS)
Current ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,500,300 | 1,504,500 | 1,561,300 | 1,643,800 | 1,633,700 | 1,569,600 | 1,631,200 | 1,721,400 | 1,752,600 | 1,738,100 | 1,585,700 | 1,558,200 | 1,618,000 | 1,430,300 | 1,444,400 | 1,442,500 | 1,500,400 | 1,504,400 | 1,596,600 | 1,658,100 |
| Total current liabilities | US$ in thousands | 945,300 | 895,600 | 860,700 | 895,700 | 934,200 | 900,900 | 928,300 | 1,002,100 | 1,118,800 | 982,600 | 907,000 | 836,100 | 886,300 | 805,900 | 735,400 | 699,100 | 766,500 | 730,400 | 730,600 | 737,200 |
| Current ratio | 1.59 | 1.68 | 1.81 | 1.84 | 1.75 | 1.74 | 1.76 | 1.72 | 1.57 | 1.77 | 1.75 | 1.86 | 1.83 | 1.77 | 1.96 | 2.06 | 1.96 | 2.06 | 2.19 | 2.25 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,500,300K ÷ $945,300K
= 1.59
The current ratio of A.O. Smith Corp. has shown a varying trend over the past eight quarters. It ranged from a low of 1.59 in Q4 2023 to a high of 1.84 in Q1 2023. Generally, the company has maintained a current ratio above 1.5, indicating that it has more than enough current assets to cover its short-term liabilities. The upward trend from Q4 2022 to Q1 2023 suggests an improvement in the company's short-term liquidity position. However, the slight decline in the most recent quarter raises a concern regarding the company's ability to meet its short-term obligations with current assets. Overall, further monitoring and analysis of A.O. Smith Corp.'s current ratio and underlying components are warranted to assess its liquidity position accurately.
Peer comparison
Dec 31, 2023