Shake Shack Inc (SHAK)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 368,216 | 334,432 | 343,988 | 409,676 | 203,186 |
| Total current liabilities | US$ in thousands | 187,313 | 164,067 | 147,718 | 121,497 | 109,705 |
| Current ratio | 1.97 | 2.04 | 2.33 | 3.37 | 1.85 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $368,216K ÷ $187,313K
= 1.97
The current ratio of Shake Shack Inc has displayed some fluctuations over the years. As of December 31, 2020, the current ratio stood at 1.85, indicating that the company had $1.85 in current assets to cover each dollar of current liabilities. By December 31, 2021, the current ratio improved significantly to 3.37, suggesting a stronger liquidity position with $3.37 in current assets for every dollar of current liabilities.
In the following years, there were changes in the current ratio. By December 31, 2022, the current ratio decreased to 2.33, signaling a slight decrease in liquidity compared to the previous year. It further declined to 2.04 as of December 31, 2023, indicating a potential challenge in meeting short-term obligations.
As of the most recent data available on December 31, 2024, the current ratio slightly decreased to 1.97, suggesting that the company may have slightly less liquidity to cover its short-term liabilities. Overall, Shake Shack Inc’s current ratio has experienced fluctuations, highlighting the importance of monitoring liquidity levels to ensure the company's ability to meet its short-term financial obligations.
Peer comparison
Dec 31, 2024