Sensata Technologies Holding NV (ST)

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	2,027,240	2,095,310	2,699,600	2,098,520	2,102,400	2,493,160	2,476,630	2,640,200	2,775,040	2,700,200	3,119,730	3,090,100	3,076,990	3,302,660	3,177,130	3,106,120	2,979,970	2,713,880	2,279,160	1,969,550
Total current liabilities	US$ in thousands	711,358	806,882	1,521,460	793,969	823,718	872,673	880,898	1,109,470	1,178,970	905,974	887,129	840,045	836,259	829,820	836,932	773,521	745,157	626,415	926,559	621,061
Current ratio		2.85	2.60	1.77	2.64	2.55	2.86	2.81	2.38	2.35	2.98	3.52	3.68	3.68	3.98	3.80	4.02	4.00	4.33	2.46	3.17

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,027,240K ÷ $711,358K
= 2.85

The current ratio of Sensata Technologies Holding NV has shown fluctuation over the periods indicated in the data. It started at a relatively high level of 3.17 in March 2020, indicating a healthy liquidity position with more than sufficient current assets to cover its short-term liabilities. However, the ratio decreased in the following quarters, reaching a low point of 1.77 in June 2024, which may raise concerns about the company's ability to meet its short-term obligations.

Despite the fluctuations, the current ratio generally remained above 1, suggesting that Sensata Technologies Holding NV had more current assets than current liabilities throughout the period. Nevertheless, the downward trend from the initial high levels to the lower values is worth noting as it signifies a potential weakening in the company's liquidity position over time.

It would be advisable for stakeholders, such as investors and creditors, to closely monitor the company's current ratio and assess the reasons behind the fluctuations to determine the overall financial health and ability of Sensata Technologies Holding NV to meet its short-term obligations sustainably.