Neurocrine Biosciences Inc (NBIX)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	1,607,000	1,453,500	972,800	1,016,200	831,000
Total current liabilities	US$ in thousands	654,800	537,700	245,800	186,500	565,300
Current ratio		2.45	2.70	3.96	5.45	1.47

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,607,000K ÷ $654,800K
= 2.45

The current ratio of Neurocrine Biosciences, Inc. has shown a declining trend over the past five years. The ratio decreased from 5.45 in 2019 to 2.45 in 2023. This downward trend indicates that the company may potentially be facing challenges in managing its short-term obligations with its current assets.

The current ratio of 2.45 as of December 31, 2023, implies that for every dollar of current liabilities, Neurocrine Biosciences, Inc. has $2.45 in current assets available to cover those obligations. While the current ratio is still above 1, suggesting the company has sufficient current assets to meet its short-term liabilities, the downward trend raises concerns about the company's liquidity position.

It is important for stakeholders to closely monitor the company's ability to maintain a healthy current ratio to ensure that it can meet its short-term financial obligations effectively. Further analysis and investigation into the reasons behind the declining current ratio would be necessary to assess the financial health and liquidity management of Neurocrine Biosciences, Inc.