PAYXNEUTRAL

PAYX Current Ratio Analysis

1.26x

Updated 273h ago·SEC filings & market data

Key Takeaway

A current ratio of 1.26x means PAYX has $1.26 in current assets for every $1 of current liabilities, a basic test of its ability to cover short-term obligations.

Sector Performance

50th percentile

PAYX

1.26x

Sector Median

1.26x

Sector Avg

2.61x

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Deep Analysis

A current ratio of 1.26x means PAYX has $1.26 in current assets for every $1 of current liabilities, a basic test of its ability to cover short-term obligations.

This sits just above the sector median of 1.25x, placing PAYX at the 50th percentile among sector peers. The trend is not available: both the year-over-year and quarter-over-quarter changes are listed as N/A, as is the eight-quarter history, so no momentum can be inferred. With the level roughly in line with the sector and no trend data, the metric signals neither unusual strain nor excess liquidity. This neutral position offers no clear added risk or opportunity beyond what the stock’s overall assessment already captures. Accordingly, the current ratio supports the NEUTRAL verdict on PAYX.

Frequently Asked Questions

What does the Current Ratio tell investors about PAYX?

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 PAYX's closest peers by Current Ratio?

The closest peers by Current Ratio include: NWS (1.62x), ESTC (1.68x), DXCM (1.73x), GLW (1.81x), TEL (1.88x).

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Learn More About Current Ratio

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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.