CMCNEUTRAL

CMC Current Ratio Analysis

2.33x

Updated 181h ago·SEC filings & market data

Key Takeaway

The current ratio of 2.33x means CMC holds $2.33 in current assets for every $1 of current liabilities, indicating a solid buffer to cover short-term obligations.

Sector Performance

84th percentile

CMC

2.33x

Sector Median

1.21x

Sector Avg

2.53x

Prior Period

2.38x(Jun 2026)

↓ Declining

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Deep Analysis

The current ratio of 2.33x means CMC holds $2.33 in current assets for every $1 of current liabilities, indicating a solid buffer to cover short-term obligations.

This sits well above the sector median of 1.20x, placing CMC in the 84th percentile among sector peers. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 2.1%, moving from 2.38x to 2.33x over the two reported quarters. The high level suggests low immediate liquidity risk, while the slight downward trend signals a minor weakening that warrants observation. This combination of a strong relative position with a small sequential drop aligns with the overall NEUTRAL verdict, as the metric neither confirms strong upside nor signals imminent danger.

Frequently Asked Questions

What does the Current Ratio tell investors about CMC?

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.

Who are CMC's closest peers by Current Ratio?

The closest peers by Current Ratio include: CHTR (0.40x), GEN (0.40x), DRI (0.39x), UDR (0.34x), WFC (0.34x).

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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.