Sherwin-Williams Co (SHW)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 5,400,800 | 5,974,300 | 6,050,600 | 5,842,400 | 5,512,900 | 6,198,800 | 6,350,600 | 6,292,800 | 5,907,700 | 6,117,200 | 6,259,500 | 6,086,400 | 5,053,700 | 5,378,400 | 5,185,700 | 5,109,600 | 4,591,400 | 5,175,600 | 4,883,200 | 4,928,000 |
| Total current liabilities | US$ in thousands | 6,808,700 | 7,218,100 | 7,466,600 | 7,483,500 | 6,626,900 | 6,623,200 | 6,339,100 | 6,306,000 | 5,960,700 | 6,096,000 | 7,198,200 | 6,953,100 | 5,719,500 | 6,478,500 | 6,190,400 | 5,651,600 | 4,594,400 | 4,358,300 | 4,459,600 | 5,220,200 |
| Current ratio | 0.79 | 0.83 | 0.81 | 0.78 | 0.83 | 0.94 | 1.00 | 1.00 | 0.99 | 1.00 | 0.87 | 0.88 | 0.88 | 0.83 | 0.84 | 0.90 | 1.00 | 1.19 | 1.09 | 0.94 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $5,400,800K ÷ $6,808,700K
= 0.79
The current ratio of Sherwin-Williams Co has shown some fluctuations over the past few years. Initially, the company's current ratio was below 1, indicating potential liquidity concerns. However, there was an improvement in the ratio in the subsequent periods, reaching a peak of 1.19 on September 30, 2020.
Despite this improvement, the current ratio dropped below 1 again in the following periods, indicating that the company may have had difficulty meeting its short-term obligations with its current assets alone. The ratio stabilized around 0.9 to 1.0 in the most recent periods, which suggests that Sherwin-Williams Co may have enhanced its liquidity position to some extent.
Overall, while the current ratio of Sherwin-Williams Co has shown some variability, it is important for the company to maintain a ratio above 1 to ensure it has sufficient current assets to cover its short-term liabilities comfortably.
Peer comparison
Dec 31, 2024