Axon Enterprise Inc. (AXON)

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	2,396,650	2,257,840	2,112,650	2,052,700	1,805,280	1,205,700	1,169,790	1,146,120	1,109,490	1,123,820	1,080,930	986,229	981,952	875,853	885,724	618,741	609,475	576,022	575,055	566,922
Total current liabilities	US$ in thousands	799,969	717,827	625,239	616,127	602,646	431,523	432,971	470,679	418,521	379,890	272,871	239,775	256,331	258,555	242,830	195,015	195,566	183,834	163,673	163,794
Current ratio		3.00	3.15	3.38	3.33	3.00	2.79	2.70	2.44	2.65	2.96	3.96	4.11	3.83	3.39	3.65	3.17	3.12	3.13	3.51	3.46

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,396,650K ÷ $799,969K
= 3.00

Axon Enterprise Inc's current ratio has shown a consistent improvement over the past eight quarters. The current ratio measures the company's ability to cover its short-term obligations with its current assets. A higher current ratio indicates a stronger ability to meet short-term liabilities.

The current ratio increased steadily from 2.44 in Q1 2022 to a peak of 3.38 in Q2 2023, signifying a significant improvement in liquidity. This indicates that Axon has increased its current assets relative to its current liabilities, which is a positive sign of financial health.

While the current ratio slightly decreased in more recent quarters, remaining above 3.00, the company still maintains a strong liquidity position. Overall, Axon Enterprise Inc's current ratio trend reflects a solid financial standing and ability to meet its short-term obligations comfortably.