RIONEUTRAL

RIO Current Ratio Analysis

1.42x

Updated 374h ago·SEC filings & market data

Key Takeaway

The current ratio of 1.42x means RIO has $1.42 of current assets for every $1 of current liabilities, showing it can cover near-term obligations.

Sector Performance

57th percentile

RIO

1.42x

Sector Median

1.26x

Sector Avg

2.60x

Prior Period

1.44x(Jul 2026)

↓ Declining

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Deep Analysis

The current ratio of 1.42x means RIO has $1.42 of current assets for every $1 of current liabilities, showing it can cover near-term obligations.

This sits above the sector median of 1.25x, placing RIO at the 57th percentile among peers, so liquidity is moderately stronger than typical. The trend shows no year-over-year comparison (N/A), while the quarter-over-quarter change is -1.4%, moving from 1.44x to 1.42x. The combination of an above-median level with a small quarterly dip implies stable liquidity without immediate stress, but the slight decline warrants monitoring for further weakening. This metric supports the overall NEUTRAL verdict because it reflects adequate, not exceptional, short-term financial health. It neither strengthens nor undermines a balanced investment outlook.

Frequently Asked Questions

What does the Current Ratio tell investors about RIO?

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.