Neogen Corporation (NEOG)
Current ratio
| Nov 30, 2024 | Aug 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 570,447 | 540,650 | 602,471 | 624,373 | 583,793 | 585,931 | 555,371 | 643,333 | 607,907 | 626,798 | 609,633 | 611,204 | 609,124 | 591,451 | 555,304 | 578,426 | 556,699 | 537,406 | 514,875 | 500,183 |
| Total current liabilities | US$ in thousands | 151,195 | 122,689 | 157,844 | 176,612 | 138,130 | 145,472 | 107,155 | 152,558 | 67,004 | 77,844 | 65,710 | 62,673 | 50,762 | 53,599 | 45,942 | 44,587 | 46,442 | 48,489 | 39,135 | 38,791 |
| Current ratio | 3.77 | 4.41 | 3.82 | 3.54 | 4.23 | 4.03 | 5.18 | 4.22 | 9.07 | 8.05 | 9.28 | 9.75 | 12.00 | 11.03 | 12.09 | 12.97 | 11.99 | 11.08 | 13.16 | 12.89 |
November 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $570,447K ÷ $151,195K
= 3.77
Neogen Corporation's current ratio has exhibited fluctuations over the past few years. The current ratio measures the company's ability to meet its short-term obligations with its current assets. From November 2019 to February 2022, the current ratio remained relatively stable, fluctuating between 9.28 and 13.16, indicating a strong ability to cover short-term liabilities. However, from May 2022 onwards, the current ratio started to decline significantly, dropping below 5. This may suggest potential liquidity challenges or difficulties in meeting short-term obligations. The downward trend raises concerns about Neogen Corporation's short-term financial health and ability to manage working capital effectively. Further analysis and investigation into the underlying causes of the declining current ratio are recommended to understand the company's liquidity position better.
Peer comparison
Nov 30, 2024