CEVA Inc (CEVA)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	209,371	177,625	188,980	167,559	178,552
Total current liabilities	US$ in thousands	26,887	33,278	35,440	28,180	26,378
Current ratio		7.79	5.34	5.33	5.95	6.77

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $209,371K ÷ $26,887K
= 7.79

CEVA Inc's current ratio has fluctuated over the past five years. The current ratio measures the company's ability to meet its short-term obligations with its current assets. A higher current ratio is generally seen as favorable, indicating that the company has more current assets relative to its current liabilities.

In 2023, CEVA Inc's current ratio stands at 7.79, showcasing a significant increase compared to the previous year. This implies that the company has significantly more current assets relative to current liabilities, reflecting a stronger liquidity position.

However, it is important to note that the current ratio was lower in the years 2020 and 2021, albeit still above 5, suggesting a slight reduction in liquidity during those periods. The highest current ratio was recorded in 2019 at 6.77, indicating a very strong liquidity position at that time.

Overall, CEVA Inc's current ratio has shown variability over the years, but the current ratio for 2023 indicates a robust liquidity position, which could imply the company's ability to easily cover its short-term obligations using its current assets.