MTSINEUTRAL

MTSI Current Ratio Analysis

7.52x

Higher than 97% of Technology sector peers

Updated 72h ago·SEC filings & market data

Key Takeaway

The current ratio of 7.52x means MTSI holds $7.52 in current assets for every $1 of current liabilities, showing it can easily cover short-term obligations.

Sector Performance

97th percentile

MTSI

7.52x

Sector Median

1.96x

Sector Avg

10.67x

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Deep Analysis

The current ratio of 7.52x means MTSI holds $7.52 in current assets for every $1 of current liabilities, showing it can easily cover short-term obligations.

This ratio sits far above the technology sector median of 1.95x and places MTSI in the 97th percentile among peers, indicating exceptional liquidity relative to the industry. Trend data is not available — both the year-over-year change and quarter-over-quarter change are listed as N/A, and there are no historical values beyond the most recent quarter to assess direction. Because the level is extremely high but no trend exists, the lack of a downward movement removes an immediate warning, yet the absence of trend also provides no signal of improving or deteriorating liquidity for investment timing. This metric supports the overall NEUTRAL verdict: the strong current ratio suggests low short-term risk, but it does not alone justify a bullish or bearish stance without additional context on profitability or growth.

Frequently Asked Questions

What does the Current Ratio tell investors about MTSI?

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 MTSI's Current Ratio compare to its sector?

MTSI's Current Ratio of 7.52x compares to a Technology sector median of 1.96x, placing it in the 97th percentile.

Who are MTSI's closest peers by Current Ratio?

The closest Technology peers by Current Ratio include: ORCL (1.12x), PCTY (1.08x), UBER (1.07x), SAP (1.07x), AAPL (1.07x).

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Learn More About Current Ratio

Why Working Capital Management Matters More Than You Think

Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

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.