Godaddy Inc (GDDY)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	1,255,900	1,582,600	1,889,800	1,291,300	1,575,300
Total current liabilities	US$ in thousands	2,683,100	2,459,800	2,436,700	2,314,200	2,001,100
Current ratio		0.47	0.64	0.78	0.56	0.79

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,255,900K ÷ $2,683,100K
= 0.47

The current ratio of Godaddy Inc has exhibited fluctuating trends over the past five years. The current ratio measures the company's ability to meet its short-term liabilities with its current assets. A higher current ratio is generally indicative of stronger liquidity and financial health.

In 2023, the current ratio decreased to 0.47, signaling a significant decline from the previous year. This decrease may raise concerns about the company's ability to cover its short-term obligations with its current assets.

In 2022, the current ratio improved to 0.64 from the prior year, showing a positive trend in liquidity management. The increase in the current ratio suggests that Godaddy Inc was better positioned to meet its short-term obligations compared to the previous year.

In 2021, the current ratio was 0.78, indicating a relatively stronger liquidity position. This ratio suggests that the company had an improved ability to cover its short-term liabilities with its current assets.

In 2020, the current ratio dropped to 0.56, indicating a decline in liquidity compared to the previous year. A lower current ratio may imply potential difficulties in meeting short-term obligations without additional financing.

In 2019, the current ratio was 0.79, displaying a relatively strong liquidity position. This ratio suggests that Godaddy Inc had sufficient current assets to cover its short-term liabilities at that time.

Overall, fluctuations in Godaddy Inc's current ratio indicate varying levels of liquidity and the company's ability to manage short-term financial obligations. It would be essential for stakeholders to monitor these trends to assess the company's financial health and sustainability.