CAHNEUTRAL

CAH Current Ratio Analysis

0.91x

Higher than 8% of Healthcare sector peers

Updated 13h ago·SEC filings & market data

Key Takeaway

The current ratio measures a company's ability to cover short-term obligations with short-term assets; at 0.91x, Cardinal Health has only $0.91 in current assets for every $1.00 of current liabilities, meaning it may struggle to pay bills due within a year.

Sector Performance

8th percentile

CAH

0.91x

Sector Median

2.06x

Sector Avg

3.92x

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Deep Analysis

The current ratio measures a company's ability to cover short-term obligations with short-term assets; at 0.91x, Cardinal Health has only $0.91 in current assets for every $1.00 of current liabilities, meaning it may struggle to pay bills due within a year.

This sits far below the healthcare sector median of 2.06x, placing the company in the 8th percentile among peers. The trend is unavailable: the year-over-year change is N/A and the quarter-over-quarter change is N/A, so no directional signal can be drawn from historical figures. Because the level is already low and the trend is unknown, the combination leaves liquidity risk unresolved, with no evidence of improvement or deterioration. This metric contradicts the NEUTRAL verdict by adding a clear downside factor, as a sub-1.0x ratio is a

Frequently Asked Questions

What does the Current Ratio tell investors about CAH?

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 CAH's Current Ratio compare to its sector?

CAH's Current Ratio of 0.91x compares to a Healthcare sector median of 2.06x, placing it in the 8th percentile.

Who are CAH's closest peers by Current Ratio?

The closest Healthcare peers by Current Ratio include: RARE (2.02x), A (2.10x), BAX (1.95x), BSX (1.90x), ZBH (1.73x).

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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CAH

0.91x

Sector Median

2.06x

Sector Avg

3.92x

How CAH's Current Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.