Dream Finders Homes Inc (DFH)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,745,910 | 1,539,640 | 1,293,890 |
| Total current liabilities | US$ in thousands | 531,584 | 968,448 | 760,000 |
| Current ratio | 3.28 | 1.59 | 1.70 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,745,910K ÷ $531,584K
= 3.28
Dream Finders Homes Inc's current ratio has shown a significant improvement over the past three years, indicating a strengthening liquidity position. As of December 31, 2023, the current ratio stands at 3.28, reflecting a substantial increase from 1.59 in 2022 and 1.70 in 2021. This surge suggests that the company's current assets, such as cash and accounts receivable, are more than sufficient to cover its current liabilities, including short-term debt and payables. A current ratio above 1 indicates that Dream Finders Homes Inc has an ample buffer to meet its short-term obligations, highlighting a positive liquidity position and financial health. Such a trend could signify efficient working capital management and improved ability to fund operational needs.
Peer comparison
Dec 31, 2023