Tesla Inc (TSLA)

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	49,616,000	45,026,000	43,875,000	42,997,000	40,917,000	35,990,000	31,222,000	29,050,000	27,100,000	25,002,000	24,693,000	24,705,000	26,717,000	21,744,000	15,336,000	14,893,000	12,103,000	10,940,000	10,182,000	7,677,820
Total current liabilities	US$ in thousands	28,748,000	26,640,000	27,592,000	27,436,000	26,709,000	24,611,000	21,821,000	21,455,000	19,705,000	18,051,000	16,371,000	14,877,000	14,248,000	13,302,000	12,270,000	11,986,000	10,667,000	10,146,000	9,588,770	9,242,800
Current ratio		1.73	1.69	1.59	1.57	1.53	1.46	1.43	1.35	1.38	1.39	1.51	1.66	1.88	1.63	1.25	1.24	1.13	1.08	1.06	0.83

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $49,616,000K ÷ $28,748,000K
= 1.73

The current ratio of Tesla Inc has shown a consistent improvement over the past eight quarters, indicating the company's strengthening liquidity position. As of December 31, 2023, the current ratio stands at 1.73, representing a favorable ability to meet short-term obligations with current assets. This upward trend from 1.35 in March 2022 reflects a positive liquidity management and suggests improved financial flexibility. However, it is important to note that while a higher current ratio generally signals a stronger liquidity position, excessively high ratios may indicate underutilized assets. Therefore, ongoing monitoring and analysis of the company's working capital management are essential for a comprehensive assessment of its financial health.