DigitalOcean Holdings Inc (DOCN)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 541,718 | 502,994 | 945,991 | 1,770,060 |
| Total current liabilities | US$ in thousands | 220,955 | 192,645 | 165,516 | 58,239 |
| Current ratio | 2.45 | 2.61 | 5.72 | 30.39 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $541,718K ÷ $220,955K
= 2.45
The current ratio of DigitalOcean Holdings Inc has exhibited a decreasing trend over the past few years. As of December 31, 2021, the current ratio was notably high at 30.39, indicating a strong ability to meet short-term obligations with current assets. However, by December 31, 2024, the current ratio had declined to 2.45, signaling a reduction in the company's liquidity position. While the current ratio still remains above 1, suggesting the company can cover its short-term liabilities with current assets, the decreasing trend warrants further monitoring to ensure the company maintains a healthy liquidity position in the future.
Peer comparison
Dec 31, 2024