Tandem Diabetes Care Inc (TNDM)

Current ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total current assets	US$ in thousands	747,989	758,144	764,304	757,919	849,976	834,303	835,044	818,464	811,520	754,947	698,285	661,696	637,235	592,293	539,679	280,873	276,141	246,598	213,156	186,028
Total current liabilities	US$ in thousands	195,258	187,110	174,655	171,157	165,290	173,630	139,259	131,815	131,856	119,650	108,723	103,410	103,852	105,506	114,307	99,647	99,396	100,266	84,214	76,680
Current ratio		3.83	4.05	4.38	4.43	5.14	4.81	6.00	6.21	6.15	6.31	6.42	6.40	6.14	5.61	4.72	2.82	2.78	2.46	2.53	2.43

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 shown a decreasing trend over the past four quarters, from 5.14 in Q4 2022 to 3.83 in Q4 2023. This indicates that the company's current assets may be decreasing relative to its current liabilities. Despite the decline, the current ratio remains above 1 in all quarters, indicating that the company still has more than enough current assets to cover its current liabilities.

The current ratio peaked at 6.21 in Q1 2022, which suggests that the company had a strong liquidity position at that time. However, it has steadily decreased since then. A current ratio above 2 is generally considered healthy, but it is essential to consider the industry's standards and the company's specific circumstances when evaluating liquidity.

Overall, while the decreasing trend in the current ratio warrants attention, Tandem Diabetes Care Inc still appears to be in a strong liquidity position with its current assets comfortably covering its current liabilities across all quarters.