Green Plains Renewable Energy Inc (GPRE)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 732,730 | 928,750 | 1,117,750 | 642,353 | 667,913 |
| Total current liabilities | US$ in thousands | 384,962 | 486,922 | 471,804 | 452,556 | 541,791 |
| Current ratio | 1.90 | 1.91 | 2.37 | 1.42 | 1.23 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $732,730K ÷ $384,962K
= 1.90
The current ratio of Green Plains Inc has fluctuated over the past five years, ranging from 1.23 in 2019 to 2.37 in 2021. A current ratio above 1 indicates that the company has more current assets than current liabilities, which is generally seen as a positive sign of liquidity.
The gradual decline from 2021 to 2023, where the current ratio decreased from 2.37 to 1.90, may raise concerns about the company's ability to meet its short-term obligations with its current assets. However, the current ratio remains above 1, indicating that Green Plains Inc continues to have sufficient current assets to cover its current liabilities.
It is important to note that interpreting the current ratio in isolation may not provide a comprehensive view of the company's financial health. Further analysis, considering other liquidity ratios and overall financial performance, would be necessary to make a more informed assessment of Green Plains Inc's liquidity position.
Peer comparison
Dec 31, 2023