Meta Platforms Inc. (META)

Current ratio

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Total current assets US$ in thousands 85,365,000 59,549,000 66,666,000 75,670,000 66,225,000
Total current liabilities US$ in thousands 31,960,000 27,026,000 21,135,000 14,981,000 15,053,000
Current ratio 2.67 2.20 3.15 5.05 4.40

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $85,365,000K ÷ $31,960,000K
= 2.67

The current ratio of Meta Platforms Inc has fluctuated over the past five years. As of December 31, 2023, the current ratio stands at 2.67, indicating that the company has $2.67 in current assets for every $1 in current liabilities. This represents an improvement from the prior year, where the current ratio was 2.20.

When compared to the ratios from the previous years, we observe a downward trend since December 31, 2021, when the current ratio was at its peak at 3.15. The current ratio for December 31, 2023, is lower than the ratios for December 31, 2020, and 2019, which were 5.05 and 4.40, respectively.

While a current ratio above 1 is generally considered healthy, a higher current ratio indicates a stronger ability to cover short-term liabilities. The current ratio of 2.67 for 2023 suggests that Meta Platforms Inc has sufficient current assets to meet its short-term obligations, although the decreasing trend over the past years warrants further monitoring to ensure liquidity and financial stability.


Peer comparison

Dec 31, 2023


See also:

Meta Platforms Inc. Current Ratio