Tenet Healthcare Corporation (THC)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 7,167,000 | 5,981,000 | 7,075,000 | 7,147,000 | 5,081,000 |
| Total current liabilities | US$ in thousands | 4,760,000 | 4,476,000 | 5,109,000 | 4,847,000 | 4,205,000 |
| Current ratio | 1.51 | 1.34 | 1.38 | 1.47 | 1.21 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $7,167,000K ÷ $4,760,000K
= 1.51
The current ratio of Tenet Healthcare Corp. has shown a fluctuating trend over the past five years. As of December 31, 2023, the current ratio stands at 1.51, indicating an improvement compared to the previous year. This suggests that the company's current assets are 1.51 times its current liabilities, which may imply improved short-term liquidity and the ability to cover its short-term obligations more comfortably.
The upward trend in the current ratio from 2021 to 2023 reflects a strengthening liquidity position for the company. However, it is important to note that the current ratio was relatively higher in 2020 at 1.47 compared to 2023. This may indicate a temporary decrease in liquidity or an increase in short-term liabilities that year.
Overall, the current ratio of Tenet Healthcare Corp. has generally been above 1, which typically indicates that the company has sufficient current assets to cover its current liabilities. It is essential for stakeholders to continue monitoring this ratio to ensure that the company maintains a healthy liquidity position and can meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2023