APLDNEUTRAL

APLD Current Ratio Analysis

2.38x

Higher than 60% of Technology sector peers

Updated 384h ago·SEC filings & market data

Key Takeaway

Applied Digital’s current ratio of 2.38x means the company has $2.38 in current assets for every $1 of current liabilities, indicating it can comfortably cover short-term obligations.

Sector Performance

60th percentile

APLD

2.38x

Sector Median

1.96x

Sector Avg

10.67x

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Deep Analysis

Applied Digital’s current ratio of 2.38x means the company has $2.38 in current assets for every $1 of current liabilities, indicating it can comfortably cover short-term obligations.

This sits above the technology sector median of 1.86x and places the company at the 61st percentile among its peers, showing a stronger-than-average liquidity position. There is no year-over-year or quarter-over-quarter change available, so no trend can be assessed for this metric. The elevated ratio alone suggests a low short-term liquidity risk, but the absence of trend data leaves uncertainty about whether this level is stable or eroding. This metric supports a NEUTRAL verdict because the above-median liquidity provides a defensive buffer, yet without directional movement it neither confirms an improving nor deteriorating outlook.

Frequently Asked Questions

What does the Current Ratio tell investors about APLD?

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 APLD's Current Ratio compare to its sector?

APLD's Current Ratio of 2.38x compares to a Technology sector median of 1.96x, placing it in the 60th percentile.

Who are APLD's closest peers by Current Ratio?

The closest Technology peers by Current Ratio include: ORCL (1.12x), PCTY (1.08x), UBER (1.07x), SAP (1.07x), AAPL (1.07x).

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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.