NSCNEUTRAL

NSC Current Ratio Analysis

0.83x

Updated 2067h ago·SEC filings & market data

Key Takeaway

The current ratio measures a company's ability to pay short-term obligations with its short-term assets; a value of 0.83x means NSC has $0.83 in current assets for every $1.00 of current liabilities, indicating potential liquidity strain.

Sector Performance

22th percentile

NSC

0.83x

Sector Median

1.26x

Sector Avg

2.60x

Prior Period

0.91x(Jul 2026)

↓ Declining

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Deep Analysis

NSC's 0.83x sits well below the sector median of 1.20x, placing it in the 21st percentile among peers—meaning 79% of comparable companies have higher liquidity. Year-over-year change is not available, but quarter-over-quarter the ratio fell 8.8% from 0.91x to 0.83x, showing a recent deterioration. The combination of a below-median, below-1.0 ratio and a declining quarter-over-quarter trend elevates liquidity risk, as the firm has fewer resources to cover near-term debts. This metric contradicts the NEUTRAL verdict, as a weak and worsening current ratio suggests a more cautious assessment of the company's financial health.

Frequently Asked Questions

What does the Current Ratio tell investors about NSC?

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.

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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.