Current Ratio
Higher than 17% of Technology sector peers
Updated 8h ago
Sector Performance
17th percentileSAP
1.07x
Sector Median
1.95x
Sector Avg
10.71x
Deep Analysis
The current ratio of 1.07x means that for every dollar of short-term liabilities, SAP holds $1.07 in current assets like cash and receivables, barely covering its obligations.
This places it well below the technology sector median of 1.84x, landing in the 18th percentile among peers — indicating weaker short-term liquidity than most companies in its industry. Because year-over-year and quarter-over-quarter changes are both listed as N/A, there is no trend data available to assess whether this ratio is improving or deteriorating. The combination of a low current ratio with no observable trend suggests a possible liquidity risk if short-term debts increased, but also leaves uncertainty about the direction of that risk. This metric does not directly contradict the overall NEUTRAL verdict, as the low ratio is a cautionary factor that is offset by the absence of negative trend data.
Frequently Asked Questions
What does the Current Ratio tell investors about SAP?
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 SAP's Current Ratio compare to its sector?
SAP's Current Ratio of 1.07x compares to a Technology sector median of 1.95x, placing it in the 17th percentile.
Who are SAP's closest peers by Current Ratio?
The closest Technology peers by Current Ratio include: U (1.95x), WIT (2.05x), GRAB (1.67x), ORCL (1.12x), ADBE (0.91x).
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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1.07x
Sector Median
1.95x
Sector Avg
10.71x
How SAP's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.