Yelp Inc (YELP)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 624,216 | 595,992 | 644,677 | 712,725 | 533,309 |
| Total current liabilities | US$ in thousands | 175,864 | 182,824 | 164,013 | 143,030 | 134,155 |
| Current ratio | 3.55 | 3.26 | 3.93 | 4.98 | 3.98 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $624,216K ÷ $175,864K
= 3.55
Yelp Inc's current ratio has shown some fluctuations over the past five years. The current ratio represents the company's ability to cover its short-term liabilities with its current assets. In 2023, the current ratio stands at 3.55, indicating that Yelp Inc has $3.55 in current assets for every $1 in current liabilities.
Compared to the previous year, the current ratio has increased from 3.26 in 2022 to 3.55 in 2023. This improvement suggests that the company's liquidity position has strengthened, as it now has a higher proportion of current assets relative to current liabilities.
However, when looking at a longer-term trend, the current ratio has decreased from 4.98 in 2020 to 3.55 in 2023. This decline could indicate a potential decrease in liquidity or an increase in short-term liabilities relative to current assets.
Overall, Yelp Inc's current ratio of 3.55 in 2023 reflects a healthy liquidity position, but it is important for the company to continue monitoring and managing its current assets and liabilities to ensure it can meet its short-term obligations effectively.
Peer comparison
Dec 31, 2023