Texas Roadhouse Inc (TXRH)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 516,568 | 356,474 | 396,841 | 563,525 | 510,651 |
| Total current liabilities | US$ in thousands | 828,130 | 745,434 | 652,010 | 602,144 | 506,318 |
| Current ratio | 0.62 | 0.48 | 0.61 | 0.94 | 1.01 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $516,568K ÷ $828,130K
= 0.62
The current ratio of Texas Roadhouse Inc has exhibited a declining trend over the past five years, indicating potential liquidity challenges. Starting at 1.01 in December 2020, the current ratio decreased to 0.94 in December 2021, and further to 0.61 by December 2022. This downward trend continued as the ratio dropped to 0.48 by December 2023, reflecting a worsening liquidity position. However, there was a slight improvement in December 2024, with the current ratio rising to 0.62. Overall, the current ratio suggests that Texas Roadhouse Inc may be facing difficulties in meeting its short-term financial obligations with its current assets, and a ratio below 1 raises concerns about the company's ability to cover its short-term liabilities.
Peer comparison
Dec 31, 2024