Now Inc (DNOW)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,068,000 | 1,017,000 | 883,000 | 861,000 | 1,067,000 |
| Total current liabilities | US$ in thousands | 418,000 | 439,000 | 369,000 | 272,000 | 396,000 |
| Current ratio | 2.56 | 2.32 | 2.39 | 3.17 | 2.69 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,068,000K ÷ $418,000K
= 2.56
The current ratio of NOW Inc has shown some fluctuations over the past five years. In particular, the current ratio has decreased from 3.17 in 2020 to 2.56 in 2023. This indicates that in 2023, NOW Inc may have slightly less liquid assets to cover its current liabilities compared to 2020. However, it is important to note that a current ratio of 2.56 still indicates that NOW Inc has more than enough current assets to meet its short-term obligations. The current ratio of NOW Inc has generally been above 2.0 over the past five years, suggesting a healthy liquidity position. Overall, although there has been some variability in the current ratio, NOW Inc's current ratio indicates a relatively strong ability to cover its short-term obligations with its current assets.
Peer comparison
Dec 31, 2023