Western Digital Corporation (WDC)

Current ratio

		Jun 30, 2024	Mar 31, 2024	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
Total current assets	US$ in thousands	8,060,000	7,532,000	7,838,000	7,577,000	7,886,000	8,483,000	8,381,000	9,071,000	9,453,000	9,178,000	9,535,000	9,856,000	9,757,000	9,032,000	9,109,000	9,005,000	9,048,000	8,553,000	8,627,000	8,500,000
Total current liabilities	US$ in thousands	6,087,000	4,053,000	4,693,000	5,792,000	5,434,000	5,261,000	4,382,000	4,966,000	5,237,000	4,397,000	4,929,000	4,709,000	4,870,000	4,501,000	4,526,000	4,429,000	4,406,000	4,471,000	4,482,000	4,288,000
Current ratio		1.32	1.86	1.67	1.31	1.45	1.61	1.91	1.83	1.81	2.09	1.93	2.09	2.00	2.01	2.01	2.03	2.05	1.91	1.92	1.98

June 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $8,060,000K ÷ $6,087,000K
= 1.32

The current ratio of Western Digital Corporation has fluctuated over the past several quarters, ranging from a low of 1.31 to a high of 2.09. A current ratio above 1 indicates that the company has more current assets than current liabilities, which is generally seen as a positive indicator of short-term liquidity.

The current ratio was relatively stable around 1.9 in the earlier quarters of 2022, suggesting a comfortable liquidity position. However, in more recent quarters, the current ratio has declined, dropping to 1.32 as of June 30, 2024, which may indicate a tighter liquidity position.

Overall, while the current ratio has varied, it remained above 1 throughout the periods, indicating that Western Digital Corporation has been able to meet its short-term obligations using its current assets. However, the recent decline in the current ratio warrants further analysis to understand the reasons behind the decrease in liquidity.