TTM Technologies Inc (TTMI)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	1,429,690	1,493,060	1,407,410	1,248,760	1,342,680
Total current liabilities	US$ in thousands	703,984	761,325	558,148	518,046	946,666
Current ratio		2.03	1.96	2.52	2.41	1.42

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,429,690K ÷ $703,984K
= 2.03

The current ratio of TTM Technologies Inc has fluctuated over the past five years, ranging from 1.42 in 2019 to 2.52 in 2021. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. A current ratio above 1 indicates that the company has more current assets than current liabilities, which is typically seen as a positive sign.

In 2023, the current ratio stands at 2.03, which indicates that the company has $2.03 in current assets for every $1 of current liabilities. This suggests that TTM Technologies Inc is in a strong position to meet its short-term obligations. Compared to the previous year, where the current ratio was 1.96, there has been a slight improvement in liquidity.

However, it is important to note that a very high current ratio may also indicate that a company is not utilizing its current assets efficiently and may have excess liquidity that could be invested elsewhere for a better return. Conversely, a low current ratio may suggest liquidity issues or difficulty in meeting short-term obligations.

Overall, TTM Technologies Inc's current ratio of 2.03 in 2023 is a positive signal of its liquidity position, but further analysis of other financial metrics and industry benchmarks would provide a more comprehensive assessment of the company's financial health.