WD-40 Company (WDFC)
Current ratio
| Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 255,441 | 248,763 | 250,514 | 237,657 | 248,525 | 249,860 | 263,429 | 255,356 | 249,640 | 241,354 | 234,599 | 233,328 | 241,219 | 240,943 | 221,836 | 206,775 | 185,154 | 213,265 | 158,263 | 149,224 |
| Total current liabilities | US$ in thousands | 103,500 | 105,241 | 110,431 | 98,820 | 88,842 | 95,309 | 116,596 | 113,643 | 110,820 | 96,269 | 83,389 | 81,058 | 85,936 | 79,118 | 71,883 | 66,854 | 60,116 | 117,749 | 95,424 | 81,020 |
| Current ratio | 2.47 | 2.36 | 2.27 | 2.40 | 2.80 | 2.62 | 2.26 | 2.25 | 2.25 | 2.51 | 2.81 | 2.88 | 2.81 | 3.05 | 3.09 | 3.09 | 3.08 | 1.81 | 1.66 | 1.84 |
August 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $255,441K ÷ $103,500K
= 2.47
The current ratio of WD-40 Company has shown fluctuations over the past years, ranging from a low of 1.66 to a high of 3.09. The most recent current ratio as of August 31, 2024, was 2.47, indicating that the company had $2.47 in current assets to cover every $1 of current liabilities.
The trend in the current ratio from August 2020 to August 2024 shows some variability, with the ratio generally staying above 2. This suggests that WD-40 Company has had a relatively strong ability to meet its short-term obligations over this period. However, it is worth noting that there was a slight decrease in the current ratio from the prior period (May 31, 2024) to the current period (August 31, 2024), indicating a potential slight weakening in the company's short-term liquidity position.
Overall, a current ratio above 2 indicates that WD-40 Company has a healthy liquidity position, as it possesses more than enough current assets to cover its current liabilities. However, analysts should continue to monitor the trend in the current ratio to assess the company's ability to manage its short-term obligations effectively.
Peer comparison
Aug 31, 2024