Ingevity Corp (NGVT)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 658,600 | 683,300 | 724,900 | 628,700 | 463,200 |
| Total current liabilities | US$ in thousands | 362,900 | 303,500 | 268,900 | 223,400 | 215,500 |
| Current ratio | 1.81 | 2.25 | 2.70 | 2.81 | 2.15 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $658,600K ÷ $362,900K
= 1.81
The current ratio of Ingevity Corp has shown a decreasing trend over the past five years, indicating a potential weakening liquidity position. The ratio decreased from 2.15 in 2019 to 1.81 in 2023. A current ratio above 1 suggests that the company's current assets are sufficient to cover its current liabilities. Despite the declining trend, the current ratio of 1.81 in 2023 still indicates that Ingevity Corp has more current assets than current liabilities to meet its short-term obligations. However, analysts may want to monitor this trend closely to ensure the company maintains a healthy liquidity position in the future.
Peer comparison
Dec 31, 2023