Masco Corporation (MAS)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,856,000 | 2,964,000 | 3,007,000 | 3,148,000 | 2,946,000 | 3,264,000 | 3,359,000 | 3,428,000 | 3,422,000 | 3,404,000 | 3,259,000 | 3,206,000 | 3,489,000 | 3,487,000 | 3,225,000 | 2,745,000 | 2,711,000 | 2,792,000 | 2,843,000 | 2,758,000 |
| Total current liabilities | US$ in thousands | 1,695,000 | 1,662,000 | 1,749,000 | 2,018,000 | 1,889,000 | 2,224,000 | 2,467,000 | 2,136,000 | 1,939,000 | 1,879,000 | 1,778,000 | 1,748,000 | 1,934,000 | 1,737,000 | 2,154,000 | 1,504,000 | 1,548,000 | 1,909,000 | 1,953,000 | 1,929,000 |
| Current ratio | 1.68 | 1.78 | 1.72 | 1.56 | 1.56 | 1.47 | 1.36 | 1.60 | 1.76 | 1.81 | 1.83 | 1.83 | 1.80 | 2.01 | 1.50 | 1.83 | 1.75 | 1.46 | 1.46 | 1.43 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,856,000K ÷ $1,695,000K
= 1.68
The current ratio of Masco Corp. has displayed some fluctuations over the past eight quarters. In the most recent quarter, Q4 2023, the current ratio stood at 1.68, indicating a slight decrease from the previous quarter's ratio of 1.78 in Q3 2023. Despite this slight decline, the current ratio remains above 1, implying that the company's current assets are sufficient to cover its current liabilities.
Comparing the current ratio to the same quarter in the previous year, Q4 2022, we observe a consistent improvement from 1.56 to 1.68. This upward trend in the current ratio suggests that Masco Corp. has enhanced its liquidity position over the past year.
In general, a higher current ratio is typically considered favorable as it indicates that the company is better equipped to meet its short-term obligations. However, a very high current ratio could also suggest an inefficient use of resources. Therefore, the trend of Masco Corp.'s current ratio should be closely monitored to ensure a balance between liquidity and asset utilization.
Peer comparison
Dec 31, 2023