AMENEUTRAL

AME Current Ratio Analysis

1.14x

Higher than 43% of Industrials sector peers

Updated 2985h ago·SEC filings & market data

Key Takeaway

The current ratio of 1.14x means AMETEK has $1.14 in current assets (like cash and inventory) for every $1.00 of short-term liabilities, indicating a moderate ability to cover near-term debts.

Sector Performance

43th percentile

AME

1.14x

Sector Median

1.21x

Sector Avg

3.48x

Prior Period

1.06x(Apr 2026)

↑ Improving

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Deep Analysis

The current ratio of 1.14x means AMETEK has $1.14 in current assets (like cash and inventory) for every $1.00 of short-term liabilities, indicating a moderate ability to cover near-term debts.

This sits below the Industrials sector median of 1.23x, placing the company at the 33rd percentile among peers—meaning two-thirds of sector firms have a higher ratio. The metric has been perfectly stable over the past eight quarters, with no change year-over-year or quarter-over-quarter (both +0.0%). A low but stable current ratio suggests no recent deterioration in liquidity, yet the level is tight enough that any sudden cash drain could pressure short-term obligations, carrying modest risk. This combination does not signal urgent weakness or notable improvement, aligning with the overall NEUTRAL verdict as it neither demands action nor points to a clear advantage.

Frequently Asked Questions

What does the Current Ratio tell investors about AME?

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 AME's Current Ratio compare to its sector?

AME's Current Ratio of 1.14x compares to a Industrials sector median of 1.21x, placing it in the 43th percentile.

Who are AME's closest peers by Current Ratio?

The closest Industrials peers by Current Ratio include: MMM (1.24x), BA (1.18x), AVY (1.13x), PWR (1.10x), ADP (1.04x).

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Learn More About Current Ratio

Why Working Capital Management Matters More Than You Think

Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

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.