Current Ratio
Higher than 9% of Energy sector peers
Updated 1078h ago
Sector Performance
9th percentileESTE
0.47x
Sector Median
0.90x
Sector Avg
0.99x
Deep Analysis
The current ratio measures a company's ability to pay short-term obligations with its short-term assets; a value of 0.47x means Earthstone has only $0.47 in current assets for every $1.00 of current liabilities.
This places it well below the energy sector median of 0.91x and in the 9th percentile among peers, indicating a much weaker liquidity position than most competitors. No year-over-year, quarter-over-quarter change, or historical trend data is available for this metric, so no direction of improvement or deterioration can be assessed. The combination of a very low current ratio (0.47x) with no trend information points to elevated short-term liquidity risk, which typically raises concerns about the company's ability to meet upcoming debt payments. This metric directly contradicts the overall NEUTRAL verdict, as such a low ratio suggests a higher level of financial strain than a neutral stance would imply.
Frequently Asked Questions
What does the Current Ratio tell investors about ESTE?
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 ESTE's Current Ratio compare to its sector?
ESTE's Current Ratio of 0.47x compares to a Energy sector median of 0.90x, placing it in the 9th percentile.
Who are ESTE'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).
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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0.47x
Sector Median
0.90x
Sector Avg
0.99x
How ESTE's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.