Thor Industries Inc (THO)
Current ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,650,030 | 2,793,580 | 3,062,480 | 2,803,520 | 2,102,280 |
| Total current liabilities | US$ in thousands | 1,567,020 | 1,716,480 | 1,755,920 | 1,794,780 | 1,515,280 |
| Current ratio | 1.69 | 1.63 | 1.74 | 1.56 | 1.39 |
July 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,650,030K ÷ $1,567,020K
= 1.69
The current ratio of Thor Industries Inc has shown a fluctuating trend over the past five years, ranging from 1.39 in July 2020 to 1.74 in July 2022. The current ratio for the most recent fiscal year ending July 31, 2024, stands at 1.69, indicating that the company has $1.69 in current assets for every $1 in current liabilities.
A current ratio above 1 suggests that the company has more current assets than current liabilities, which is generally considered favorable as it indicates the company's ability to cover its short-term obligations. The current ratio has been relatively stable above 1.5 in recent years, indicating that Thor Industries Inc has maintained a healthy liquidity position.
However, it is essential to consider other factors such as the nature of the industry, seasonality, and specific business circumstances when interpreting the current ratio in isolation. Overall, Thor Industries Inc's current ratio suggests a reasonable liquidity position, but further analysis is recommended to get a comprehensive understanding of the company's financial health.
Peer comparison
Jul 31, 2024