Current Ratio
since 2005
Calculation
Caterpillar Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 1.44 | = | 52,485) | ÷ | 36,558) |
| Dec 31, 2024 | 1.42 | = | 45,682) | ÷ | 32,272) |
| Dec 31, 2023 | 1.35 | = | 46,949) | ÷ | 34,728) |
| Dec 31, 2022 | 1.39 | = | 43,785) | ÷ | 31,531) |
| Dec 31, 2021 | 1.46 | = | 43,455) | ÷ | 29,847) |
| Dec 31, 2020 | 1.53 | = | 39,464) | ÷ | 25,717) |
| Dec 31, 2019 | 1.47 | = | 39,193) | ÷ | 26,621) |
| Dec 31, 2018 | 1.37 | = | 38,603) | ÷ | 28,218) |
| Dec 31, 2017 | 1.35 | = | 36,244) | ÷ | 26,931) |
| Dec 31, 2016 | 1.22 | = | 31,967) | ÷ | 26,132) |
| Dec 31, 2015 | 1.31 | = | 34,418) | ÷ | 26,303) |
| Dec 31, 2014 | 1.39 | = | 38,867) | ÷ | 27,877) |
| Dec 31, 2013 | 1.40 | = | 38,335) | ÷ | 27,297) |
| Dec 31, 2012 | 1.43 | = | 42,524) | ÷ | 29,755) |
| Dec 31, 2011 | 1.33 | = | 38,128) | ÷ | 28,561) |
| Dec 31, 2010 | 1.44 | = | 31,810) | ÷ | 22,020) |
| Dec 31, 2009 | 1.39 | = | 26,789) | ÷ | 19,292) |
| Dec 31, 2008 | 1.21 | = | 31,633) | ÷ | 26,069) |
| Dec 31, 2007 | 1.15 | = | 25,477) | ÷ | 22,245) |
| Dec 31, 2006 | 1.20 | = | 23,093) | ÷ | 19,252) |
| Dec 31, 2005 | 1.19 | = | 22,790) | ÷ | 19,092) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The current ratio for the period examined demonstrates fluctuations while generally remaining above 1.0, indicating a consistent ability to cover short-term liabilities with short-term assets. A review of the period from 2005 to 2025 reveals several distinct phases in the ratio’s behavior.
- Initial Period (2005-2007)
- The current ratio began at 1.19 in 2005 and experienced a slight increase to 1.20 in 2006. A subsequent decrease to 1.15 in 2007 suggests a modest reduction in liquidity during this timeframe, though it remained at a reasonable level.
- Period of Growth & Recession (2008-2009)
- The ratio increased to 1.21 in 2008, potentially reflecting a cautious approach to liquidity management in anticipation of economic uncertainty. A significant jump to 1.39 in 2009 likely reflects a more conservative liquidity position during the global financial crisis, as the company prioritized maintaining sufficient liquid assets.
- Post-Recession & Stabilization (2010-2014)
- The current ratio remained relatively stable, fluctuating between 1.31 and 1.44 during this period. This suggests a period of operational stability and consistent liquidity management following the economic downturn. A slight decline from 1.44 in 2010 to 1.39 in 2014 indicates a gradual normalization of liquidity levels.
- Recent Years (2015-2025)
- From 2015 to 2025, the current ratio exhibited more pronounced variability. It decreased to a low of 1.22 in 2015, then increased to a peak of 1.53 in 2020. A subsequent decline to 1.35 in 2022 was followed by increases to 1.42 in 2023 and 1.44 in 2025. The increase in 2020 may be attributable to factors related to the COVID-19 pandemic, such as increased cash reserves or decreased current liabilities. The fluctuations in the later years suggest a more dynamic approach to working capital management.
Overall, the current ratio has generally indicated a healthy liquidity position throughout the analyzed period. While fluctuations exist, the ratio consistently remained above 1.0, suggesting the company has generally maintained the ability to meet its short-term obligations. The period from 2015-2025 shows a greater degree of variability, potentially reflecting evolving business strategies and external economic factors.
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Comparison to Competitors
Caterpillar Inc., current ratio, long-term trends, comparison to competitors
| Caterpillar Inc. | Boeing Co. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 1.44 | 1.19 | 1.32 | 1.04 | 1.30 | 1.09 | 1.03 |
| Dec 31, 2024 | 1.42 | 1.32 | 1.50 | 1.09 | 1.31 | 1.13 | 0.99 |
| Dec 31, 2023 | 1.35 | 1.14 | 1.51 | 1.18 | 1.27 | 1.21 | 1.04 |
| Dec 31, 2022 | 1.39 | 1.22 | 1.38 | 1.16 | 1.25 | 1.32 | 1.09 |
| Dec 31, 2021 | 1.46 | 1.33 | 1.04 | 1.28 | 1.30 | 1.42 | 1.19 |
| Dec 31, 2020 | 1.53 | 1.39 | 1.56 | 1.58 | 1.47 | 1.39 | 1.21 |
| Dec 31, 2019 | 1.47 | 1.05 | 1.70 | 1.16 | 1.34 | 1.22 | 1.08 |
| Dec 31, 2018 | 1.37 | 1.08 | 1.47 | — | 1.29 | 1.12 | 1.13 |
| Dec 31, 2017 | 1.35 | 1.16 | 1.64 | — | 1.38 | 1.38 | 1.35 |
| Dec 31, 2016 | 1.22 | 1.25 | 1.27 | — | 1.41 | 1.20 | 1.30 |
| Dec 31, 2015 | 1.31 | 1.35 | 1.43 | — | 1.09 | 1.15 | 1.18 |
| Dec 31, 2014 | 1.39 | 1.20 | 1.51 | — | 1.50 | 1.11 | 1.30 |
| Dec 31, 2013 | 1.40 | 1.26 | 1.78 | — | 1.49 | 1.20 | 1.29 |
| Dec 31, 2012 | 1.43 | 1.27 | 1.44 | — | 1.35 | 1.14 | 1.24 |
| Dec 31, 2011 | 1.33 | 1.21 | 1.60 | — | 1.31 | 1.16 | 1.38 |
| Dec 31, 2010 | 1.44 | 1.15 | 1.70 | — | 1.28 | 1.15 | 1.33 |
| Dec 31, 2009 | 1.39 | 1.07 | 1.68 | — | 1.25 | 1.17 | 1.29 |
| Dec 31, 2008 | 1.21 | 0.84 | 1.28 | — | 1.08 | 1.01 | 1.24 |
| Dec 31, 2007 | 1.15 | 0.86 | 1.30 | — | 1.15 | 1.11 | 1.26 |
| Dec 31, 2006 | 1.20 | 0.77 | 1.29 | — | 1.21 | 1.06 | 1.24 |
| Dec 31, 2005 | 1.19 | 0.78 | 1.21 | — | 1.15 | 1.12 | 1.12 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Capital Goods)
Caterpillar Inc., current ratio, long-term trends, comparison to sector (capital goods)
| Caterpillar Inc. | Capital Goods | |
|---|---|---|
| Dec 31, 2025 | 1.44 | 1.17 |
| Dec 31, 2024 | 1.42 | 1.23 |
| Dec 31, 2023 | 1.35 | 1.18 |
| Dec 31, 2022 | 1.39 | 1.22 |
| Dec 31, 2021 | 1.46 | 1.31 |
| Dec 31, 2020 | 1.53 | 1.43 |
| Dec 31, 2019 | 1.47 | 1.17 |
| Dec 31, 2018 | 1.37 | 1.17 |
| Dec 31, 2017 | 1.35 | 1.29 |
| Dec 31, 2016 | 1.22 | 1.27 |
| Dec 31, 2015 | 1.31 | 1.26 |
| Dec 31, 2014 | 1.39 | 1.29 |
| Dec 31, 2013 | 1.40 | 1.34 |
| Dec 31, 2012 | 1.43 | 1.31 |
| Dec 31, 2011 | 1.33 | 1.29 |
| Dec 31, 2010 | 1.44 | 1.28 |
| Dec 31, 2009 | 1.39 | 1.23 |
| Dec 31, 2008 | 1.21 | 1.07 |
| Dec 31, 2007 | 1.15 | 1.08 |
| Dec 31, 2006 | 1.20 | 1.05 |
| Dec 31, 2005 | 1.19 | 1.03 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Industrials)
Caterpillar Inc., current ratio, long-term trends, comparison to industry (industrials)
| Caterpillar Inc. | Industrials | |
|---|---|---|
| Dec 31, 2025 | 1.44 | 1.13 |
| Dec 31, 2024 | 1.42 | 1.19 |
| Dec 31, 2023 | 1.35 | 1.16 |
| Dec 31, 2022 | 1.39 | 1.20 |
| Dec 31, 2021 | 1.46 | 1.29 |
| Dec 31, 2020 | 1.53 | 1.41 |
| Dec 31, 2019 | 1.47 | 1.16 |
| Dec 31, 2018 | 1.37 | 1.13 |
| Dec 31, 2017 | 1.35 | 1.24 |
| Dec 31, 2016 | 1.22 | 1.22 |
| Dec 31, 2015 | 1.31 | 1.24 |
| Dec 31, 2014 | 1.39 | 1.26 |
| Dec 31, 2013 | 1.40 | 1.33 |
| Dec 31, 2012 | 1.43 | 1.30 |
| Dec 31, 2011 | 1.33 | 1.30 |
| Dec 31, 2010 | 1.44 | 1.28 |
| Dec 31, 2009 | 1.39 | 1.23 |
| Dec 31, 2008 | 1.21 | 1.06 |
| Dec 31, 2007 | 1.15 | 1.07 |
| Dec 31, 2006 | 1.20 | 1.05 |
| Dec 31, 2005 | 1.19 | 1.05 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).