Westinghouse Air Brake Technologies Corp (WAB)
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 | 4,855,000 | 4,634,000 | 4,663,000 | 4,496,000 | 4,327,000 | 4,199,000 | 4,046,000 | 3,911,000 | 3,832,000 | 3,760,100 | 3,808,200 | 3,779,000 | 3,880,000 | 3,936,200 | 3,969,700 | 4,241,100 | 4,192,100 | 4,410,400 | 4,229,140 | 4,381,140 |
| Total current liabilities | US$ in thousands | 4,056,000 | 3,891,000 | 4,173,000 | 4,165,000 | 3,467,000 | 3,328,000 | 3,190,000 | 2,880,000 | 2,910,000 | 2,811,600 | 2,844,700 | 3,168,900 | 3,226,000 | 3,228,600 | 3,483,200 | 2,981,600 | 3,258,000 | 3,198,900 | 3,211,320 | 3,254,440 |
| Current ratio | 1.20 | 1.19 | 1.12 | 1.08 | 1.25 | 1.26 | 1.27 | 1.36 | 1.32 | 1.34 | 1.34 | 1.19 | 1.20 | 1.22 | 1.14 | 1.42 | 1.29 | 1.38 | 1.32 | 1.35 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,855,000K ÷ $4,056,000K
= 1.20
The current ratio of Westinghouse Air Brake Technologies Corp has shown a decreasing trend over the past eight quarters. The ratio peaked at 1.36 in Q1 2022 and has steadily declined since then. In Q4 2023, the current ratio stands at 1.20, indicating a slight improvement from the previous quarter.
A current ratio of 1.20 suggests that the company has $1.20 in current assets for every $1 of current liabilities, demonstrating that it has sufficient short-term assets to cover its short-term obligations. However, the downward trend in the current ratio over the past quarters may raise concerns about the company's liquidity position and ability to meet its short-term obligations in the future.
It is essential for Westinghouse Air Brake Technologies Corp to closely monitor its current ratio and take appropriate measures to manage its liquidity effectively to ensure the sustainability of its operations.
Peer comparison
Dec 31, 2023