Middleby Corp (MIDD)
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 | 1,965,860 | 1,960,860 | 2,036,200 | 2,060,520 | 2,006,000 | 1,950,540 | 1,935,260 | 1,823,820 | 1,707,080 | 1,507,740 | 1,525,920 | 1,393,110 | 1,270,490 | 1,241,180 | 1,651,270 | 1,507,660 | 1,209,200 | 1,200,450 | 1,184,920 | 1,111,140 |
| Total current liabilities | US$ in thousands | 851,094 | 864,247 | 878,405 | 990,309 | 988,284 | 937,778 | 976,414 | 918,401 | 914,888 | 822,836 | 731,837 | 714,437 | 700,258 | 596,994 | 504,553 | 607,232 | 593,137 | 585,244 | 565,297 | 561,557 |
| Current ratio | 2.31 | 2.27 | 2.32 | 2.08 | 2.03 | 2.08 | 1.98 | 1.99 | 1.87 | 1.83 | 2.09 | 1.95 | 1.81 | 2.08 | 3.27 | 2.48 | 2.04 | 2.05 | 2.10 | 1.98 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,965,860K ÷ $851,094K
= 2.31
The current ratio of Middleby Corp has shown fluctuations over the past five years, ranging from a low of 1.81 to a high of 3.27. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. A current ratio above 1 indicates that the company has more current assets than current liabilities, providing a margin of safety.
Based on the data provided, Middleby Corp's current ratio has generally been above 2, indicating a healthy liquidity position. The company has improved its current ratio over the years, reaching a high of 3.27 in June 2020, which suggests the company had a significant amount of current assets relative to its current liabilities at that time.
However, it is worth noting that there have been periods where the current ratio dipped below 2, such as in December 2021 and March 2023, which may indicate a tighter liquidity position during those periods. Overall, while the company's current ratio has shown variability, it has generally stayed above the threshold of 2, signaling a satisfactory ability to meet its short-term obligations with its current assets.
Peer comparison
Dec 31, 2023