Urban Outfitters Inc (URBN)

Current ratio

		Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021	Jan 31, 2020
Total current assets	US$ in thousands	1,282,500	1,237,720	1,285,750	1,223,330	1,053,400
Total current liabilities	US$ in thousands	994,205	890,374	981,473	906,132	638,770
Current ratio		1.29	1.39	1.31	1.35	1.65

January 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,282,500K ÷ $994,205K
= 1.29

The current ratio for Urban Outfitters Inc has shown some fluctuations over the past five years. The ratio was 1.29 as of January 31, 2024, which indicates that the company had $1.29 in current assets for every $1 in current liabilities. This represents a decrease from the previous year's ratio of 1.39. The downward trend in the current ratio over the past two years suggests a potential weakening in the company's short-term liquidity position.

While a current ratio above 1 typically indicates that a company can meet its short-term obligations, a declining ratio may raise concerns about the firm's ability to cover its current liabilities with its current assets. It is important for stakeholders to closely monitor Urban Outfitters Inc's current ratio and assess the reasons behind the decline to ensure the company maintains a healthy liquidity position moving forward.