Current Ratio
since 2005
Calculation
General Dynamics Corp., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2019 | 1.18 | = | 19,780) | ÷ | 16,801) |
| Dec 31, 2018 | 1.23 | = | 18,189) | ÷ | 14,739) |
| Dec 31, 2017 | 1.40 | = | 18,328) | ÷ | 13,099) |
| Dec 31, 2016 | 1.20 | = | 15,447) | ÷ | 12,846) |
| Dec 31, 2015 | 1.17 | = | 14,571) | ÷ | 12,445) |
| Dec 31, 2014 | 1.27 | = | 17,407) | ÷ | 13,751) |
| Dec 31, 2013 | 1.47 | = | 17,886) | ÷ | 12,194) |
| Dec 31, 2012 | 1.35 | = | 15,744) | ÷ | 11,620) |
| Dec 31, 2011 | 1.38 | = | 15,368) | ÷ | 11,145) |
| Dec 31, 2010 | 1.27 | = | 14,186) | ÷ | 11,177) |
| Dec 31, 2009 | 1.28 | = | 13,249) | ÷ | 10,371) |
| Dec 31, 2008 | 1.15 | = | 11,950) | ÷ | 10,360) |
| Dec 31, 2007 | 1.34 | = | 12,298) | ÷ | 9,164) |
| Dec 31, 2006 | 1.26 | = | 9,880) | ÷ | 7,824) |
| Dec 31, 2005 | 1.33 | = | 9,173) | ÷ | 6,907) |
Based on: 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
- Current Assets
- Current assets demonstrate an overall increasing trend from 2005 through 2019. Starting at $9,173 million in 2005, current assets grew steadily almost every year, reaching $19,780 million by 2019. There is a notable dip in 2015 to $14,571 million from a previous high in 2013, followed by a recovery and further growth in subsequent years.
- Current Liabilities
- Current liabilities also show a general upward trajectory over the period. Beginning at $6,907 million in 2005, liabilities increased almost consistently, with some fluctuations such as a slight drop in 2015 to $12,445 million from a previous $13,751 million in 2014. By 2019, current liabilities reached $16,801 million. The increase in liabilities aligns with the growth in assets, indicating expanding operations or working capital requirements.
- Current Ratio
- The current ratio fluctuates but remains generally above 1 throughout the timeframe, indicating the company maintains liquidity above the minimum of current liabilities. The ratio started at 1.33 in 2005, peaked near 1.47 in 2013, and then showed some decline, stabilizing around the 1.18–1.40 range in later years. Notably, the current ratio dipped below 1.2 in 2015 and again in 2019 at 1.18, suggesting tighter liquidity conditions during those years despite the rise in assets and liabilities.
- Summary of Trends
- Both current assets and current liabilities increased substantially over the analyzed period, nearly doubling from 2005 to 2019. Although the company generally maintained a current ratio indicating adequate liquidity, the fluctuations and occasional declines in this ratio suggest periods of tighter short-term financial flexibility. The pattern of asset growth outpacing liabilities at certain points, such as 2013, provides a stronger liquidity buffer, while other periods reflect more balanced expansion of liabilities, potentially correlating with operational demands or financing strategies.
Comparison to Competitors
General Dynamics Corp., current ratio, long-term trends, comparison to competitors
| General Dynamics Corp. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2019 | 1.18 | 1.05 | 1.47 | 1.70 | 1.16 | 1.34 | 1.22 | 1.08 |
| Dec 31, 2018 | 1.23 | 1.08 | 1.37 | 1.47 | — | 1.29 | 1.12 | 1.13 |
| Dec 31, 2017 | 1.40 | 1.16 | 1.35 | 1.64 | — | 1.38 | 1.38 | 1.35 |
| Dec 31, 2016 | 1.20 | 1.25 | 1.22 | 1.27 | — | 1.41 | 1.20 | 1.30 |
| Dec 31, 2015 | 1.17 | 1.35 | 1.31 | 1.43 | — | 1.09 | 1.15 | 1.18 |
| Dec 31, 2014 | 1.27 | 1.20 | 1.39 | 1.51 | — | 1.50 | 1.11 | 1.30 |
| Dec 31, 2013 | 1.47 | 1.26 | 1.40 | 1.78 | — | 1.49 | 1.20 | 1.29 |
| Dec 31, 2012 | 1.35 | 1.27 | 1.43 | 1.44 | — | 1.35 | 1.14 | 1.24 |
| Dec 31, 2011 | 1.38 | 1.21 | 1.33 | 1.60 | — | 1.31 | 1.16 | 1.38 |
| Dec 31, 2010 | 1.27 | 1.15 | 1.44 | 1.70 | — | 1.28 | 1.15 | 1.33 |
| Dec 31, 2009 | 1.28 | 1.07 | 1.39 | 1.68 | — | 1.25 | 1.17 | 1.29 |
| Dec 31, 2008 | 1.15 | 0.84 | 1.21 | 1.28 | — | 1.08 | 1.01 | 1.24 |
| Dec 31, 2007 | 1.34 | 0.86 | 1.15 | 1.30 | — | 1.15 | 1.11 | 1.26 |
| Dec 31, 2006 | 1.26 | 0.77 | 1.20 | 1.29 | — | 1.21 | 1.06 | 1.24 |
| Dec 31, 2005 | 1.33 | 0.78 | 1.19 | 1.21 | — | 1.15 | 1.12 | 1.12 |
Based on: 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)
General Dynamics Corp., current ratio, long-term trends, comparison to sector (capital goods)
| General Dynamics Corp. | Capital Goods | |
|---|---|---|
| Dec 31, 2019 | 1.18 | 1.17 |
| Dec 31, 2018 | 1.23 | 1.17 |
| Dec 31, 2017 | 1.40 | 1.29 |
| Dec 31, 2016 | 1.20 | 1.27 |
| Dec 31, 2015 | 1.17 | 1.26 |
| Dec 31, 2014 | 1.27 | 1.29 |
| Dec 31, 2013 | 1.47 | 1.34 |
| Dec 31, 2012 | 1.35 | 1.31 |
| Dec 31, 2011 | 1.38 | 1.29 |
| Dec 31, 2010 | 1.27 | 1.28 |
| Dec 31, 2009 | 1.28 | 1.23 |
| Dec 31, 2008 | 1.15 | 1.07 |
| Dec 31, 2007 | 1.34 | 1.08 |
| Dec 31, 2006 | 1.26 | 1.05 |
| Dec 31, 2005 | 1.33 | 1.03 |
Based on: 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)
General Dynamics Corp., current ratio, long-term trends, comparison to industry (industrials)
| General Dynamics Corp. | Industrials | |
|---|---|---|
| Dec 31, 2019 | 1.18 | 1.16 |
| Dec 31, 2018 | 1.23 | 1.13 |
| Dec 31, 2017 | 1.40 | 1.24 |
| Dec 31, 2016 | 1.20 | 1.22 |
| Dec 31, 2015 | 1.17 | 1.24 |
| Dec 31, 2014 | 1.27 | 1.26 |
| Dec 31, 2013 | 1.47 | 1.33 |
| Dec 31, 2012 | 1.35 | 1.30 |
| Dec 31, 2011 | 1.38 | 1.30 |
| Dec 31, 2010 | 1.27 | 1.28 |
| Dec 31, 2009 | 1.28 | 1.23 |
| Dec 31, 2008 | 1.15 | 1.06 |
| Dec 31, 2007 | 1.34 | 1.07 |
| Dec 31, 2006 | 1.26 | 1.05 |
| Dec 31, 2005 | 1.33 | 1.05 |
Based on: 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).