Rambus Inc (RMBS)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 690,257 | 630,645 | 527,214 | 684,364 | 699,712 |
| Total current liabilities | US$ in thousands | 81,812 | 89,121 | 126,709 | 267,267 | 85,864 |
| Current ratio | 8.44 | 7.08 | 4.16 | 2.56 | 8.15 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $690,257K ÷ $81,812K
= 8.44
The current ratio of Rambus Inc has shown fluctuations over the past five years. As of December 31, 2020, the company had a very strong current ratio of 8.15, indicating a healthy level of current assets relative to current liabilities. However, by December 31, 2021, the current ratio decreased to 2.56, suggesting a significant decline in liquidity and potential difficulties in meeting short-term obligations.
In the subsequent years, there was a recovery in the current ratio, reaching 4.16 by December 31, 2022, and further improving to 7.08 and 8.44 by December 31, 2023, and December 31, 2024, respectively. These higher ratios indicate that the company improved its liquidity position, with more current assets available to cover current liabilities.
Overall, while the current ratio of Rambus Inc experienced fluctuations, it generally trended towards a stronger liquidity position in the later years, which could be seen as a positive sign for the company's financial health and ability to meet its short-term obligations.
Peer comparison
Dec 31, 2024