Current Ratio
Higher than 17% of Industrials sector peers
Updated 728h ago
Sector Performance
17th percentileGXO
0.85x
Sector Median
1.18x
Sector Avg
2.79x
Deep Analysis
With a current ratio of 0.85x, GXO Logistics has only $0.85 in current assets for every $1.00 of short-term liabilities, meaning the company may face difficulty covering obligations due within one year.
This ratio sits well below the sector median of 1.18x, placing GXO in the 17th percentile among Industrials peers — indicating weaker short-term liquidity than 83% of comparable firms. No year-over-year or quarter-over-quarter change data is available, so there is no trend to assess whether liquidity is improving or deteriorating. The combination of a low current ratio with no trend data introduces a cautionary element, but without directional movement, the risk is tied to the current level alone rather than a worsening pattern. This metric contradicts the overall NEUTRAL verdict because a current ratio well below 1.0x typically signals elevated liquidity risk that would normally warrant a more negative assessment, yet the neutral stance suggests other factors offset this weakness. Investors should view this single metric as a red flag requiring complementary analysis of cash flow and debt structure.
Frequently Asked Questions
What does the Current Ratio tell investors about GXO?
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 GXO's Current Ratio compare to its sector?
GXO's Current Ratio of 0.85x compares to a Industrials sector median of 1.18x, placing it in the 17th percentile.
Who are GXO's closest peers by Current Ratio?
The closest Industrials peers by Current Ratio include: BA (1.18x), AVY (1.15x), AME (1.14x), PWR (1.14x), BLNK (1.23x).
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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0.85x
Sector Median
1.18x
Sector Avg
2.79x
How GXO's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.