HPQNEUTRAL

Current Ratio

0.79x

Updated 174h ago

Sector Performance

18th percentile

HPQ

0.79x

Sector Median

1.20x

Sector Avg

2.57x

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Deep Analysis

A current ratio of 0.79x means HPQ has only $0.79 in current assets—like cash and inventory—for every $1.00 of short-term debts due within a year, indicating a thin liquidity cushion.

This is well below the sector median of 1.20x, placing HPQ in the 18th percentile among its peers, meaning most competitors have stronger short-term financial flexibility. The year-over-year change is not available, but the quarter-over-quarter change shows a +3.9% improvement from the prior quarter’s 0.76x, suggesting a slight recent strengthening. Despite that uptick, the ratio remains below 1.0x, implying recurring liquidity risk; the small positive trend does not materially offset the persistently low level. This metric contradicts the overall NEUTRAL verdict because a current ratio far below the sector median and below 1.0x typically signals elevated short-term financial strain, which would normally warrant a more cautious assessment.

Frequently Asked Questions

What does the Current Ratio tell investors about HPQ?

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 HPQ's closest peers by Current Ratio?

The closest peers by Current Ratio include: KEY (0.42x), GEN (0.40x), CHTR (0.40x), USB (0.40x), DRI (0.39x).

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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HPQ

0.79x

Sector Median

1.20x

Sector Avg

2.57x

How HPQ's Current Ratio compares to sector peers.

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