InterDigital Inc (IDCC)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,230,820 | 1,153,740 | 1,057,120 | 1,215,440 | 1,167,620 | 1,257,690 | 1,192,150 | 1,196,410 | 1,344,680 | 1,352,490 | 1,035,800 | 1,001,210 | 1,050,280 | 1,122,770 | 922,703 | 984,880 | 1,002,550 | 1,031,960 | 921,012 | 875,845 |
| Total current liabilities | US$ in thousands | 725,810 | 711,771 | 699,347 | 903,819 | 881,128 | 445,447 | 446,504 | 254,393 | 271,346 | 290,461 | 232,951 | 308,612 | 371,561 | 418,029 | 234,221 | 253,234 | 295,762 | 317,412 | 203,930 | 185,833 |
| Current ratio | 1.70 | 1.62 | 1.51 | 1.34 | 1.33 | 2.82 | 2.67 | 4.70 | 4.96 | 4.66 | 4.45 | 3.24 | 2.83 | 2.69 | 3.94 | 3.89 | 3.39 | 3.25 | 4.52 | 4.71 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,230,820K ÷ $725,810K
= 1.70
InterDigital Inc's current ratio has fluctuated over the given period, ranging from a high of 4.96 on December 31, 2022, to a low of 1.33 on December 31, 2023. The current ratio measures the company's ability to cover its short-term liabilities with its current assets.
A current ratio above 1 indicates that InterDigital Inc has more current assets than current liabilities, which is generally seen as a positive indicator of financial health. In general, a higher current ratio suggests that the company is more capable of meeting its short-term obligations.
Despite the fluctuations, InterDigital Inc's current ratio remained above 2 for most of the period, indicating a reasonable level of liquidity and ability to meet short-term obligations. However, the significant drop in the current ratio to 1.33 on December 31, 2023, and subsequent slow increase in the following periods may raise concerns about the company's short-term liquidity position.
It is essential for investors and stakeholders to monitor the trend of the current ratio over time to assess InterDigital Inc's short-term solvency and financial stability.
Peer comparison
Dec 31, 2024