Current Ratio
since 2008
Calculation
Visa Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Sep 30, 2022 | 1.45 | = | 30,205) | ÷ | 20,853) |
| Sep 30, 2021 | 1.75 | = | 27,607) | ÷ | 15,739) |
| Sep 30, 2020 | 1.91 | = | 27,645) | ÷ | 14,510) |
| Sep 30, 2019 | 1.56 | = | 20,970) | ÷ | 13,415) |
| Sep 30, 2018 | 1.61 | = | 18,216) | ÷ | 11,305) |
| Sep 30, 2017 | 1.90 | = | 19,023) | ÷ | 9,994) |
| Sep 30, 2016 | 1.78 | = | 14,313) | ÷ | 8,046) |
| Sep 30, 2015 | 2.03 | = | 10,892) | ÷ | 5,374) |
| Sep 30, 2014 | 1.59 | = | 9,562) | ÷ | 6,006) |
| Sep 30, 2013 | 1.80 | = | 7,822) | ÷ | 4,335) |
| Sep 30, 2012 | 1.48 | = | 11,786) | ÷ | 7,954) |
| Sep 30, 2011 | 2.66 | = | 9,190) | ÷ | 3,451) |
| Sep 30, 2010 | 2.50 | = | 8,734) | ÷ | 3,498) |
| Sep 30, 2009 | 2.08 | = | 9,241) | ÷ | 4,442) |
| Sep 30, 2008 | 1.56 | = | 11,174) | ÷ | 7,165) |
Based on: 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30).
1 US$ in millions
Liquidity levels remained positive throughout the analyzed period, with the current ratio consistently staying above 1.00. This indicates a sustained capacity to meet short-term obligations with current assets, although the magnitude of this liquidity cushion has experienced significant fluctuations over the fourteen-year span.
- Initial Liquidity Expansion (2008–2011)
- A strong upward trend in liquidity was observed between 2008 and 2011, during which the current ratio rose from 1.56 to a peak of 2.66. This improvement was primarily driven by a substantial reduction in current liabilities, which decreased from 7.165 billion US$ in 2008 to 3.451 billion US$ in 2011, while current assets remained relatively stable.
- Mid-Period Volatility and Balance Sheet Growth (2012–2019)
- A sharp contraction occurred in 2012, with the ratio falling to 1.48, coinciding with a spike in current liabilities to 7.954 billion US$. The subsequent years were characterized by cyclical movements; the ratio recovered to 2.03 by 2015 before oscillating between 1.56 and 1.90. Throughout this phase, both current assets and current liabilities trended upward, with assets growing from 11.786 billion US$ in 2012 to 20.970 billion US$ in 2019.
- Recent Performance and Current Status (2020–2022)
- A temporary increase in the current ratio to 1.91 was recorded in 2020. However, a downward trajectory followed, leading to a period low of 1.45 by September 30, 2022. This recent decline is attributed to a rapid increase in current liabilities, which grew from 15.739 billion US$ in 2021 to 20.853 billion US$ in 2022, outpacing the growth of current assets during the same interval.
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Comparison to Competitors
Visa Inc., current ratio, long-term trends, comparison to competitors
| Visa Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sep 30, 2022 | 1.45 | 1.23 | 1.11 | 3.35 | 1.27 | 3.09 | 0.92 | 1.39 | 1.78 | 1.62 | 5.17 | 0.77 | 1.05 | 1.11 | 1.09 | 1.03 |
| Sep 30, 2021 | 1.75 | 1.25 | 1.25 | 5.05 | 1.77 | 3.54 | 0.88 | 1.94 | 2.08 | 2.30 | 4.34 | 0.91 | 1.23 | 1.05 | 1.16 | 1.12 |
| Sep 30, 2020 | 1.91 | 1.40 | 1.48 | — | 1.86 | 5.77 | 0.98 | 2.26 | 2.52 | 3.03 | 3.74 | 1.91 | 1.08 | 1.21 | 1.19 | 1.04 |
| Sep 30, 2019 | 1.56 | 1.40 | 0.79 | — | 1.74 | 4.51 | 1.02 | 1.83 | 2.53 | 2.49 | — | 1.78 | 0.95 | 1.03 | 0.99 | 1.11 |
| Sep 30, 2018 | 1.61 | 1.34 | 1.13 | — | 1.34 | — | 1.29 | 1.14 | 2.90 | 3.96 | — | 1.93 | 0.92 | 1.17 | 0.73 | 1.92 |
| Sep 30, 2017 | 1.90 | 1.23 | 2.05 | — | 1.53 | — | 1.33 | 0.73 | 2.48 | 3.08 | — | 1.65 | 0.83 | 1.15 | 1.04 | 1.93 |
| Sep 30, 2016 | 1.78 | 1.35 | 2.08 | — | 1.20 | — | 1.21 | 0.72 | 2.35 | 3.74 | — | 2.03 | 0.77 | 1.25 | 1.00 | 2.56 |
| Sep 30, 2015 | 2.03 | 1.36 | 2.18 | — | 1.80 | — | 1.24 | 1.47 | 2.50 | 4.13 | — | 1.04 | 0.81 | 1.48 | 0.99 | 3.29 |
| Sep 30, 2014 | 1.59 | 1.46 | 1.85 | — | 1.33 | — | 1.25 | 1.84 | 2.50 | 3.35 | — | 2.75 | 0.67 | 1.79 | 1.09 | 4.80 |
| Sep 30, 2013 | 1.80 | 1.45 | 2.65 | — | 1.06 | — | 1.28 | 1.87 | 2.71 | 3.24 | — | 2.57 | 0.69 | 2.43 | 1.18 | 3.47 |
| Sep 30, 2012 | 1.48 | 1.55 | 3.41 | — | 1.14 | — | 1.13 | 1.20 | 2.60 | 2.60 | — | 3.13 | 0.72 | 1.99 | 0.91 | — |
| Sep 30, 2011 | 2.66 | 1.45 | 3.02 | — | 1.05 | — | 1.21 | 1.25 | 2.60 | 2.76 | — | — | 0.84 | — | 1.33 | — |
| Sep 30, 2010 | 2.50 | 1.46 | 3.01 | — | 1.26 | — | 1.19 | 1.88 | 2.13 | 1.84 | — | — | 1.88 | — | 1.35 | — |
| Sep 30, 2009 | 2.08 | 1.46 | 2.93 | — | 2.14 | — | 1.36 | 1.82 | 1.82 | 2.03 | — | — | 1.39 | — | 1.80 | — |
| Sep 30, 2008 | 1.56 | 1.34 | 3.59 | — | 1.69 | — | 1.15 | 1.21 | 1.45 | 1.81 | — | — | 1.22 | — | 1.45 | — |
Based on: 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30).
Comparison to Sector (Software & Services)
Visa Inc., current ratio, long-term trends, comparison to sector (software & services)
| Visa Inc. | Software & Services | |
|---|---|---|
| Sep 30, 2022 | 1.45 | 1.43 |
| Sep 30, 2021 | 1.75 | 1.68 |
| Sep 30, 2020 | 1.91 | 1.92 |
| Sep 30, 2019 | 1.56 | 1.84 |
| Sep 30, 2018 | 1.61 | 2.23 |
| Sep 30, 2017 | 1.90 | 2.06 |
| Sep 30, 2016 | 1.78 | 2.03 |
| Sep 30, 2015 | 2.03 | 2.15 |
| Sep 30, 2014 | 1.59 | 2.01 |
| Sep 30, 2013 | 1.80 | 2.04 |
| Sep 30, 2012 | 1.48 | 1.84 |
| Sep 30, 2011 | 2.66 | 1.87 |
| Sep 30, 2010 | 2.50 | 1.61 |
| Sep 30, 2009 | 2.08 | 1.62 |
| Sep 30, 2008 | 1.56 | 1.36 |
Based on: 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30).
Comparison to Industry (Information Technology)
Visa Inc., current ratio, long-term trends, comparison to industry (information technology)
| Visa Inc. | Information Technology | |
|---|---|---|
| Sep 30, 2022 | 1.45 | 1.37 |
| Sep 30, 2021 | 1.75 | 1.55 |
| Sep 30, 2020 | 1.91 | 1.71 |
| Sep 30, 2019 | 1.56 | 1.66 |
| Sep 30, 2018 | 1.61 | 1.88 |
| Sep 30, 2017 | 1.90 | 2.04 |
| Sep 30, 2016 | 1.78 | 2.01 |
| Sep 30, 2015 | 2.03 | 2.04 |
| Sep 30, 2014 | 1.59 | 1.98 |
| Sep 30, 2013 | 1.80 | 2.20 |
| Sep 30, 2012 | 1.48 | 2.08 |
| Sep 30, 2011 | 2.66 | 2.12 |
| Sep 30, 2010 | 2.50 | 2.02 |
| Sep 30, 2009 | 2.08 | 2.04 |
| Sep 30, 2008 | 1.56 | 1.80 |
Based on: 10-K (reporting date: 2022-09-30), 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30).