GE Current Ratio Analysis

The current ratio measures a company's ability to pay short-term obligations with its short-term assets; GE’s ratio of 0.98x means it has only 98 cents in current assets for every dollar of current liabilities, indicating a slight liquidity deficit.

Compared to sector peers, GE’s ratio sits well below the sector median of 1.20x and ranks only at the 31st percentile, placing it in the lower third of the peer group. The metric does not have a year-over-year change or an eight-quarter trend available, but the quarter-over-quarter change shows a decline of –3.0% from the prior quarter’s 1.01x to the current 0.98x. The combination of a sub‑1.0x current ratio and a recent downward trend suggests elevated short-term liquidity risk, as the company’s current assets now fall short of covering liabilities and are shrinking further. This metric contrasts with a stronger financial profile and therefore contradicts the overall NEUTRAL verdict by adding a clear warning on near-term solvency, though the verdict remains intact as a single negative data point.

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