CTSHNEUTRAL

CTSH Current Ratio Analysis

2.23x

Updated 921h ago·SEC filings & market data

Key Takeaway

The current ratio of 2.23x means CTSH has $2.23 in current assets—such as cash, receivables, and inventory—for every $1 of short-term liabilities due within a year, indicating a comfortable liquidity cushion.

Sector Performance

81th percentile

CTSH

2.23x

Sector Median

1.26x

Sector Avg

2.61x

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Deep Analysis

The current ratio of 2.23x means CTSH has $2.23 in current assets—such as cash, receivables, and inventory—for every $1 of short-term liabilities due within a year, indicating a comfortable liquidity cushion.

This ratio sits well above the sector median of 1.20x and ranks in the 82nd percentile among sector peers, showing CTSH holds higher short-term financial flexibility than most comparable companies. Because both the year-over-year change and quarter-over-quarter change are marked as N/A, no trend data is available to judge whether this liquidity position is strengthening or weakening. With a high current ratio level but no trend direction to confirm stability or improvement, the risk assessment is less clear—investors see strong liquidity today but cannot evaluate if that strength is sustainable. This metric supports the overall NEUTRAL verdict because the elevated ratio reduces short-term solvency risk, yet the absence of trend data prevents a more bullish or bearish tilt.

Frequently Asked Questions

What does the Current Ratio tell investors about CTSH?

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 CTSH's closest peers by Current Ratio?

The closest peers by Current Ratio include: NWS (1.62x), ESTC (1.68x), DXCM (1.73x), GLW (1.81x), TEL (1.88x).

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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CTSH

2.23x

Sector Median

1.26x

Sector Avg

2.61x

How CTSH's Current Ratio compares to sector peers.

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