CEVA Inc (CEVA)

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	209,371	171,262	175,272	180,562	177,625	171,169	173,572	197,304	188,980	180,185	161,248	178,673	167,559	177,598	182,476	181,199	178,552	174,799	180,486	183,790
Total current liabilities	US$ in thousands	26,887	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	26,378	25,694	21,332	22,959
Current ratio		7.79	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	6.77	6.80	8.46	8.01

December 31, 2023 calculation

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

The current ratio of Ceva Inc. has shown a general upward trend over the past eight quarters, indicating an improvement in the company's short-term liquidity position. The current ratio has gradually increased from 4.84 in Q1 2022 to 7.79 in Q4 2023, reflecting a significant strengthening of the company's ability to meet its short-term obligations with its current assets.

Ceva Inc.'s current ratio has consistently been above 1, which suggests that the company has ample current assets to cover its current liabilities. This is a positive indication of the company's financial health and ability to meet its short-term financial obligations.

The recent peak in the current ratio in Q4 2023 at 7.79 indicates that Ceva Inc. is becoming more efficient in managing its current assets and liabilities. This increased liquidity can provide the company with greater flexibility to handle unexpected expenses, pursue growth opportunities, or weather downturns in the business cycle.

Overall, the improving trend in Ceva Inc.'s current ratio signals a positive outlook for the company's short-term financial stability and ability to manage its day-to-day operations effectively.