JB Hunt Transport Services Inc (JBHT)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,084,910 | 2,211,780 | 2,313,370 | 1,842,120 | 1,481,300 |
| Total current liabilities | US$ in thousands | 1,779,420 | 1,568,230 | 1,729,600 | 1,084,800 | 1,035,770 |
| Current ratio | 1.17 | 1.41 | 1.34 | 1.70 | 1.43 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,084,910K ÷ $1,779,420K
= 1.17
The current ratio of J.B. Hunt Transport Services, Inc. has shown fluctuations over the past five years. The company's current ratio decreased from 1.43 in 2019 to 1.34 in 2021, showing a temporary weakening in its short-term liquidity position. However, in 2022, the current ratio improved to 1.41 and further increased to 1.17 in 2023.
A current ratio above 1 indicates that the company has more current assets than current liabilities, suggesting it can cover its short-term obligations. While a declining trend may raise concerns about the company's ability to meet its short-term debt obligations, an increasing trend from 2021 to 2022 could indicate an improvement in liquidity management.
It is important to note that a current ratio should be interpreted in conjunction with other financial metrics to get a comprehensive view of the company's liquidity and financial health. Additional analysis, such as examining the composition of current assets and liabilities, would provide further insights into J.B. Hunt Transport Services, Inc.'s liquidity position.
Peer comparison
Dec 31, 2023