Hims Hers Health Inc (HIMS)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 395,831 | 265,053 | 216,595 | 269,905 | 113,084 |
| Total current liabilities | US$ in thousands | 221,367 | 88,468 | 47,941 | 79,221 | 15,228 |
| Current ratio | 1.79 | 3.00 | 4.52 | 3.41 | 7.43 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $395,831K ÷ $221,367K
= 1.79
The current ratio of Hims Hers Health Inc has shown a declining trend over the past few years, decreasing from 7.43 in December 2020 to 1.79 in December 2024. This indicates a decrease in the company's ability to cover its short-term obligations with its current assets. While a high current ratio is generally preferred as it signifies a strong liquidity position, the decreasing trend suggests a potential strain on the company's liquidity and ability to meet its short-term obligations in the near future. It would be advisable for the company to closely monitor its current assets and liabilities to ensure sufficient liquidity for its operations.
Peer comparison
Dec 31, 2024