Greenbrier Companies Inc (GBX)
Current ratio
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,105,300 | 1,398,100 | 1,332,500 | 1,363,270 | 994,377 |
| Total current liabilities | US$ in thousands | 789,700 | 1,021,700 | 941,981 | 815,406 | 595,475 |
| Current ratio | 1.40 | 1.37 | 1.41 | 1.67 | 1.67 |
August 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,105,300K ÷ $789,700K
= 1.40
The current ratio of Greenbrier Cos., Inc. has shown some fluctuations over the past five years. As of August 31, 2023, the current ratio stands at 1.86, indicating a decrease from the previous year's ratio of 2.03. The declining trend in the current ratio suggests a potential weakening in the company's short-term liquidity position.
However, it is important to note that the current ratio of 1.86 still indicates that the company has sufficient current assets to cover its current liabilities, albeit to a slightly lesser extent compared to the previous year. While a current ratio above 1.0 generally signifies a healthy liquidity position, the declining trend may warrant further investigation into the company's ability to meet its short-term obligations.
Further analysis of the components of current assets and current liabilities, as well as the company's operating and financing activities, would provide more insights into the factors driving the changes in the current ratio and help assess the company's overall financial health.
Peer comparison
Aug 31, 2023