Penn National Gaming Inc (PENN)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,659,000 | 2,013,400 | 2,223,600 | 2,085,000 | 642,800 |
| Total current liabilities | US$ in thousands | 1,490,000 | 1,158,700 | 1,133,200 | 860,000 | 905,600 |
| Current ratio | 1.11 | 1.74 | 1.96 | 2.42 | 0.71 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,659,000K ÷ $1,490,000K
= 1.11
The current ratio of PENN Entertainment Inc has been fluctuating over the past five years. The current ratio was 1.11 as of December 31, 2023, which indicates that the company may have difficulty meeting its short-term obligations with its current assets alone.
Comparing this to previous years, the current ratio has shown a declining trend from 2.42 in 2020 to 1.74 in 2022. The significant decrease in the current ratio over this period suggests a potential weakening of the company's liquidity position.
In 2021, the current ratio improved to 1.96, but it dropped again in the following year. The current ratio of 0.71 in 2019 indicates that the company had fewer current assets relative to its current liabilities, highlighting potential liquidity issues.
Overall, the current ratio trend of PENN Entertainment Inc shows variability and a potential concern for short-term liquidity management. Monitoring and improving the current ratio should be a priority for the company to ensure its ability to meet its short-term financial obligations.
Peer comparison
Dec 31, 2023