Garmin Ltd (GRMN)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,464,140 | 3,955,150 | 4,261,770 | 3,669,350 | 3,057,850 |
| Total current liabilities | US$ in thousands | 1,310,690 | 1,211,640 | 1,448,150 | 1,164,220 | 1,035,930 |
| Current ratio | 3.41 | 3.26 | 2.94 | 3.15 | 2.95 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,464,140K ÷ $1,310,690K
= 3.41
The current ratio for Garmin Ltd has shown a generally positive trend over the past five years, indicating the company's ability to meet its short-term obligations with its current assets. The ratio has improved from 2.95 in 2019 to 3.41 in 2023, reaching its highest point during this period. This suggests that the company has strengthened its liquidity position and is in a better position to cover its current liabilities using its current assets. Additionally, the current ratio has consistently stayed above 2.0, which is considered a healthy benchmark for most industries. Overall, the increasing trend in the current ratio reflects a favorable liquidity position for Garmin Ltd.
Peer comparison
Dec 31, 2023