ARRYCAUTIOUS

ARRY Current Ratio Analysis

2.25x

Higher than 100% of Energy sector peers

Updated 1908h ago·SEC filings & market data

Key Takeaway

The current ratio of 2.25x means Array Technologies has $2.25 in current assets for every $1 of current liabilities, indicating strong short-term liquidity.

Sector Performance

100th percentile

ARRY

2.25x

Sector Median

0.91x

Sector Avg

1.00x

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Deep Analysis

The current ratio of 2.25x means Array Technologies has $2.25 in current assets for every $1 of current liabilities, indicating strong short-term liquidity.

This is far above the sector median of 0.91x and places the company in the 100th percentile among sector peers, meaning it has the highest current ratio in its peer group. Trend data is not available — the year-over-year change, quarter-over-quarter change, and historic values are all listed as N/A, so no directional pattern can be assessed. The combination of a very high current ratio with no trend information suggests that, while the company currently faces low liquidity risk, the absence of historical context prevents confidence in whether this strength is stable or eroding. This metric contradicts the overall CAUTIOUS verdict, as a top-tier liquidity position typically reduces short-term financial risk, though other factors in the stock’s assessment may justify continued caution.

Frequently Asked Questions

What does the Current Ratio tell investors about ARRY?

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 ARRY's Current Ratio compare to its sector?

ARRY's Current Ratio of 2.25x compares to a Energy sector median of 0.91x, placing it in the 100th percentile.

Who are ARRY's closest peers by Current Ratio?

The closest Energy peers by Current Ratio include: PXD (0.90x), EPD (0.91x), APA (0.92x), CNQ (0.95x), ENB (0.81x).

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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.