Barnes Group Inc (B)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 906,720 | 732,304 | 680,209 | 642,345 | 764,390 |
| Total current liabilities | US$ in thousands | 396,610 | 305,073 | 310,394 | 295,379 | 342,875 |
| Current ratio | 2.29 | 2.40 | 2.19 | 2.17 | 2.23 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $906,720K ÷ $396,610K
= 2.29
The current ratio of Barnes Group Inc. has been fluctuating over the past five years, ranging from a low of 2.17 in 2020 to a high of 2.40 in 2022. As of December 31, 2023, the current ratio stands at 2.29, indicating that the company has $2.29 in current assets for every $1 in current liabilities.
Overall, the current ratio has generally been healthy and above the ideal benchmark of 2, suggesting that Barnes Group Inc. has a strong ability to meet its short-term obligations using its current assets. A current ratio above 2 signifies that the company has a comfortable buffer to cover its current liabilities, which is a positive signal for creditors and investors regarding the financial health and liquidity of the company.
However, analysts should also consider the trend in the current ratio over multiple periods to assess whether the company's liquidity position is improving, deteriorating, or remaining stable. While Barnes Group Inc. has demonstrated consistency in maintaining a current ratio above 2, further analysis and consideration of other financial metrics are necessary to gain a holistic view of the company's financial performance and position.
Peer comparison
Dec 31, 2023