Lincoln Electric Holdings Inc (LECO)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,693,110 | 1,557,790 | 1,289,590 | 1,112,340 | 1,075,580 |
| Total current liabilities | US$ in thousands | 754,610 | 852,897 | 755,905 | 549,449 | 563,135 |
| Current ratio | 2.24 | 1.83 | 1.71 | 2.02 | 1.91 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,693,110K ÷ $754,610K
= 2.24
The current ratio of Lincoln Electric Holdings, Inc. has shown fluctuations over the past five years. In 2023, the current ratio improved to 2.24 from 1.83 in 2022, indicating that the company had $2.24 in current assets for every $1 of current liabilities, which signifies a strong liquidity position.
Although the current ratio in 2023 improved significantly, it is essential to note that the ratio was even higher in 2020 at 2.02. This suggests that the company had slightly more liquidity back in 2020 compared to the current year. Similarly, in 2019, the current ratio was 1.91, slightly lower than the current year but still indicating a healthy liquidity position.
Overall, the current ratio trend of Lincoln Electric Holdings, Inc. shows fluctuations, but the company has maintained a relatively robust liquidity position over the past five years, with 2023 exhibiting the strongest current ratio in the period analyzed.
Peer comparison
Dec 31, 2023