Globus Medical (GMED)

Current ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total current assets US$ in thousands 2,177,260 1,915,370 983,344 864,516 821,765
Total current liabilities US$ in thousands 855,913 392,347 159,204 140,164 120,792
Current ratio 2.54 4.88 6.18 6.17 6.80

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,177,260K ÷ $855,913K
= 2.54

The current ratio of Globus Medical has shown a gradual decline over the years, ranging from 6.80 in 2020 to 2.54 in 2024. A current ratio above 2 indicates that the company has ample current assets to cover its current liabilities. However, the decreasing trend in the current ratio raises concerns about the company's short-term liquidity and ability to meet its short-term obligations. It is essential for Globus Medical to closely monitor and manage its current assets and liabilities to maintain a healthy liquidity position in the future.