Clear Secure Inc (YOU)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Total current assets | US$ in thousands | 770,034 | 741,600 | 653,078 |
| Total current liabilities | US$ in thousands | 552,049 | 397,473 | 264,591 |
| Current ratio | 1.39 | 1.87 | 2.47 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $770,034K ÷ $552,049K
= 1.39
Clear Secure Inc's current ratio has been showing a declining trend over the past three years. The current ratio decreased from 2.47 in 2021 to 1.87 in 2022 and further dropped to 1.39 in 2023. This indicates that the company's ability to cover its short-term obligations with its current assets has been weakening.
A current ratio below 1 suggests that a company may have difficulty meeting its short-term liabilities with its current assets. While Clear Secure Inc's current ratio is above 1, the decreasing trend raises concerns about the company's liquidity position. A current ratio of 1.39 in 2023 indicates that Clear Secure Inc may be less capable of covering its current liabilities with its current assets compared to the previous years.
It is important for stakeholders to monitor the company's liquidity closely to ensure that Clear Secure Inc can meet its short-term financial obligations without compromising its operations or financial health. Further analysis and investigation into the reasons behind the declining current ratio are recommended to address any potential liquidity challenges the company may face.
Peer comparison
Dec 31, 2023