CEVA Inc (CEVA)

Current ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Total current assets	US$ in thousands	216,341	210,712	207,267	205,767	205,306	171,262	175,272	180,562	177,648	171,169	173,572	197,304	188,980	180,185	161,248	178,673	167,559	177,598	182,476	181,199
Total current liabilities	US$ in thousands	30,529	27,719	24,982	26,755	27,622	25,686	26,127	35,037	33,278	28,062	31,589	40,787	35,440	30,638	29,281	36,919	28,180	25,891	25,078	27,613
Current ratio		7.09	7.60	8.30	7.69	7.43	6.67	6.71	5.15	5.34	6.10	5.49	4.84	5.33	5.88	5.51	4.84	5.95	6.86	7.28	6.56

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $216,341K ÷ $30,529K
= 7.09

The current ratio of CEVA Inc has shown fluctuations over the past few years, ranging from a low of 4.84 on March 31, 2021, to a high of 8.30 on June 30, 2024. The ratio measures the company's ability to cover its short-term liabilities with its current assets.

A current ratio above 1 indicates that the company has more current assets than current liabilities, which is considered a positive sign of financial health. CEVA Inc has generally maintained a current ratio well above 1 throughout the period, indicating a strong ability to meet its short-term obligations.

The current ratio peaked at 8.30 on June 30, 2024, which suggests that the company had significant liquidity to cover its short-term liabilities at that point in time. However, it slightly decreased to 7.60 on September 30, 2024, but still remained above 1, indicating a healthy liquidity position.

Overall, the trend in CEVA Inc's current ratio shows fluctuations but generally indicates a solid ability to meet its short-term financial commitments. It is important for the company to continue monitoring and managing its current assets and liabilities to ensure a healthy liquidity position in the future.