Masimo Corporation (MASI)

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	1,231,900	1,237,500	1,208,200	1,260,800	1,308,600	1,245,600	1,158,200	1,224,740	1,238,500	1,137,790	1,051,840	983,110	1,101,160	1,158,970	1,092,610	980,156	996,062	934,216	864,043	850,297
Total current liabilities	US$ in thousands	563,800	578,800	571,900	583,200	630,000	587,300	552,000	254,311	267,700	228,254	220,029	196,872	233,836	232,752	227,556	157,292	172,219	150,008	136,074	121,157
Current ratio		2.18	2.14	2.11	2.16	2.08	2.12	2.10	4.82	4.63	4.98	4.78	4.99	4.71	4.98	4.80	6.23	5.78	6.23	6.35	7.02

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,231,900K ÷ $563,800K
= 2.18

The current ratio of Masimo Corporation has exhibited fluctuation over the past few quarters, ranging from a low of 2.08 to a high of 7.02. Overall, the current ratio has generally remained above 2, indicating that the company has had sufficient current assets to cover its current liabilities. The sharp increase in the current ratio from March 2022 to March 2022 may be attributed to a significant increase in current assets or a decrease in current liabilities. Such a high current ratio of 7.02 in December 2019 suggests a substantial excess of current assets over current liabilities, which could signify a strong liquidity position. However, it is important to note that an excessively high current ratio can also indicate inefficiency in managing working capital. Further analysis of the company's financial statements and business operations would be necessary to fully understand the factors driving these fluctuations in the current ratio.