Nextera Energy Inc (NEE)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 15,361,000 | 13,490,000 | 9,288,000 | 7,382,000 | 7,408,000 |
| Total current liabilities | US$ in thousands | 27,963,000 | 26,695,000 | 17,437,000 | 15,558,000 | 13,853,000 |
| Current ratio | 0.55 | 0.51 | 0.53 | 0.47 | 0.53 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $15,361,000K ÷ $27,963,000K
= 0.55
NextEra Energy Inc's current ratio has shown fluctuations over the past five years. The current ratio measures the company's ability to cover its short-term obligations with its current assets. An increasing trend in the current ratio indicates improving liquidity, while a decreasing trend may signal potential liquidity challenges.
In 2023, the current ratio stood at 0.55, which was higher compared to the previous two years but still below 1.0, indicating that the company may have challenges in meeting its short-term obligations with its current assets. However, the ratio has shown some improvement compared to 2020, where it was as low as 0.47.
It is important for investors and analysts to closely monitor the current ratio of NextEra Energy Inc to assess the company's short-term liquidity position and its ability to meet its current liabilities. The trend in the current ratio over the years suggests the company's evolving financial health and its capacity to manage its short-term financial obligations.
Peer comparison
Dec 31, 2023