CrowdStrike Holdings Inc. (NASDAQ:CRWD)

The current ratio exhibited initial growth followed by a period of relative stability. From 2020 to 2021, the current ratio increased from 2.38 to 2.65, indicating an improved ability to cover short-term obligations with short-term assets. However, subsequent years demonstrate a declining trend, stabilizing in the most recent periods.

Trend Analysis - Current Ratio

The current ratio decreased from 2.65 in 2021 to 1.83 in 2022, representing a substantial decline. This decrease continued, albeit at a slower pace, to 1.73 in 2023. From 2023 to 2025, the ratio shows minimal fluctuation, remaining at 1.76 and then 1.77. This suggests a stabilization of the company’s short-term liquidity position, albeit at a lower level than observed in earlier years.

Concurrent with the current ratio trend, both current assets and current liabilities have increased over the observed period. The initial increase in the current ratio from 2020 to 2021 was driven by a proportionally larger increase in current assets compared to current liabilities. However, the subsequent decline in the current ratio is attributable to a faster rate of growth in current liabilities relative to current assets.

Asset and Liability Growth

Current assets increased consistently from US$1,171,636 thousand in 2020 to US$6,113,345 thousand in 2025. Current liabilities also increased steadily, moving from US$493,096 thousand in 2020 to US$3,461,050 thousand in 2025. The stabilization of the current ratio in recent years indicates that the growth rates of both current assets and current liabilities have converged.

The current ratio remains above 1.0 throughout the period, indicating the company possesses more current assets than current liabilities. However, the decreasing trend warrants monitoring to ensure continued short-term financial health. The recent stabilization suggests that the company has reached a new equilibrium in its short-term asset and liability management.