Haverty Furniture Companies Inc (HVT)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 251,593 | 276,253 | 309,057 | 316,244 | 204,523 |
| Total current liabilities | US$ in thousands | 138,264 | 154,432 | 210,377 | 204,041 | 127,016 |
| Current ratio | 1.82 | 1.79 | 1.47 | 1.55 | 1.61 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $251,593K ÷ $138,264K
= 1.82
The current ratio of Haverty Furniture Companies Inc has demonstrated fluctuating trends over the last five years. As of December 31, 2023, the current ratio stands at 1.82, showing an improvement from 1.79 in 2022. This signifies that the company's current assets exceed its current liabilities by a factor of 1.82, indicating a relatively healthy liquidity position.
Comparing this with the previous years, it is noted that the current ratio was at its lowest in 2021 at 1.47, which may have raised concerns about the firm's ability to meet short-term obligations. However, there was a rebound in 2022 and further improvement in 2023. The ratios for 2020 and 2019 were also above 1.5, indicating consistent liquidity levels over these years.
Overall, a current ratio above 1 suggests that Haverty Furniture Companies Inc has sufficient current assets to cover its short-term liabilities. However, investors and analysts should also consider other factors such as industry benchmarks, trends over time, and the composition of current assets and liabilities to gain a more comprehensive understanding of the company's liquidity position.
Peer comparison
Dec 31, 2023