Current Ratio
Higher than 29% of Healthcare sector peers
Updated 1904h ago
Sector Performance
29th percentileABT
1.39x
Sector Median
2.02x
Sector Avg
3.77x
Deep Analysis
The current ratio of 1.39x measures Abbott’s ability to cover short-term liabilities with its short-term assets; a ratio above 1.0x indicates it has enough current assets to pay near-term debts.
Abbott’s ratio sits below the healthcare sector median of 2.06x, placing it at the 28th percentile among peers, meaning 72% of sector companies have a higher current ratio. Trend data is not available: the year-over-year change is listed as N/A and the quarter-over-quarter change is also N/A, making it impossible to assess whether liquidity is improving or deteriorating. Without a trend, the focus is on the single data point—the level of 1.39x suggests below-average short-term liquidity compared to industry peers, but remains above the critical 1.0x threshold, implying no immediate distress. This combination of a below-median but not critically low ratio supports the overall NEUTRAL verdict, as it highlights a moderate weakness in liquidity that is offset by the absence of a worsening trend and the stock’s broader outlook.
Frequently Asked Questions
What does the Current Ratio tell investors about ABT?
Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.
How is the Current Ratio calculated?
Current Ratio is calculated as: Current Assets / Current Liabilities.
How does ABT's Current Ratio compare to its sector?
ABT's Current Ratio of 1.39x compares to a Healthcare sector median of 2.02x, placing it in the 29th percentile.
Who are ABT's closest peers by Current Ratio?
The closest Healthcare peers by Current Ratio include: RARE (2.02x), A (2.10x), BSX (1.90x), EXAS (2.23x), TMO (1.53x).
The Formula
Current Assets / Current Liabilities
Why It Matters
Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.
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1.39x
Sector Median
2.02x
Sector Avg
3.77x
How ABT's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.