Semtech Corporation (SMTC)

Current ratio

		Jan 28, 2024	Oct 29, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Oct 25, 2020	Jul 26, 2020	Apr 26, 2020	Jan 26, 2020	Oct 27, 2019	Jul 28, 2019	Apr 28, 2019
Total current assets	US$ in thousands	534,197	572,404	629,938	664,399	722,786	835,232	577,086	495,423	502,295	496,357	484,849	461,362	474,728	447,746	453,871	432,304	460,736	440,031	453,257	457,047
Total current liabilities	US$ in thousands	217,156	238,997	321,057	309,756	396,855	140,093	140,129	110,416	128,399	123,909	116,366	96,512	109,573	105,873	102,072	91,626	98,641	101,147	110,577	103,330
Current ratio		2.46	2.40	1.96	2.14	1.82	5.96	4.12	4.49	3.91	4.01	4.17	4.78	4.33	4.23	4.45	4.72	4.67	4.35	4.10	4.42

January 28, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $534,197K ÷ $217,156K
= 2.46

The current ratio of Semtech Corporation has displayed some fluctuations over the past few quarters, ranging from a low of 1.82 to a high of 5.96. The ratio measures the company's ability to cover its short-term liabilities with its current assets. A higher current ratio indicates a stronger ability to meet short-term obligations.

In the most recent period, as of January 28, 2024, Semtech Corporation's current ratio stands at 2.46, showing an improvement from the previous quarter's ratio of 2.40. This indicates that the company has increased its current assets relative to its current liabilities, suggesting improved liquidity and financial health.

Historically, Semtech has maintained a relatively healthy current ratio, with ratios consistently above 2.0, except for a few quarters where it dipped slightly below this threshold. The company's current ratio has shown stability over time, remaining at levels that demonstrate a comfortable position in terms of short-term liquidity.

Overall, Semtech Corporation's current ratio reflects a healthy financial position, indicating its ability to meet its short-term financial obligations effectively.