Bristol-Myers Squibb Company (BMY)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 31,770,000 | 27,273,000 | 33,262,000 | 30,192,000 | 29,354,000 |
| Total current liabilities | US$ in thousands | 22,262,000 | 21,890,000 | 21,868,000 | 19,080,000 | 18,304,000 |
| Current ratio | 1.43 | 1.25 | 1.52 | 1.58 | 1.60 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $31,770,000K ÷ $22,262,000K
= 1.43
The current ratio of Bristol-Myers Squibb Co. has exhibited fluctuations over the past five years. In 2023, the current ratio stands at 1.43, indicating that the company has $1.43 in current assets to cover each dollar of current liabilities.
Comparing this to the previous years, we observe a downward trend from 1.60 in 2019 to 1.43 in 2023. This suggests a potential weakening in the company's ability to meet its short-term obligations with its current assets.
Although a current ratio above 1.0 generally indicates the company is able to meet its short-term liabilities, the declining trend signals a need for close monitoring. It may be prudent for stakeholders to assess the company's liquidity position in more detail to understand the factors driving this downward trend and evaluate any potential risks associated with it.
Peer comparison
Dec 31, 2023