Tandem Diabetes Care Inc (TNDM)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	747,989	849,976	811,520	637,235	276,141
Total current liabilities	US$ in thousands	195,258	165,290	131,856	103,852	99,396
Current ratio		3.83	5.14	6.15	6.14	2.78

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $747,989K ÷ $195,258K
= 3.83

The current ratio of Tandem Diabetes Care Inc has been declining over the past five years. As of December 31, 2023, the current ratio stands at 3.83, showing a decrease from 5.14 in 2022 and a substantial drop from 6.15 in 2021. This trend indicates a potential deterioration in the company's ability to meet its short-term obligations using its current assets. However, when compared to 2020 and 2019, where the current ratio was 6.14 and 2.78 respectively, Tandem Diabetes Care Inc's current liquidity position remains relatively healthy. The decreasing trend in the current ratio warrants further analysis into the company's current asset and current liability management to ensure solvency and operational efficiency.