Marriot Vacations Worldwide (VAC)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,090,000 | 3,936,000 | 4,004,000 | 3,846,000 | 3,867,000 |
| Total current liabilities | US$ in thousands | 1,301,000 | 1,292,000 | 1,320,000 | 1,264,000 | 862,000 |
| Current ratio | 3.14 | 3.05 | 3.03 | 3.04 | 4.49 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,090,000K ÷ $1,301,000K
= 3.14
Marriott Vacations Worldwide's current ratio has exhibited a decreasing trend over the past five years, from 4.49 at the end of December 2020 to 3.14 by the end of December 2024. Despite the decline, the current ratio remained above 1 throughout the period, indicating the company's ability to cover its short-term obligations with its current assets. However, the decreasing trend suggests a potential weakening in the company's short-term liquidity position over the years. It is essential for investors and stakeholders to monitor this ratio closely to assess the company's ability to meet its short-term financial obligations in the future.