SJM Current Ratio Analysis

With a current ratio of 0.78x, SJM holds only $0.78 in current assets for every $1.00 of short-term liabilities—meaning the company may struggle to meet obligations due within a year.

This level is well below the sector median of 1.20x, placing SJM in the 18th percentile among its peer group, indicating weaker short-term liquidity than the majority of similar firms. No year-over-year or quarter-over-quarter change data is available, and the metric offers no trend direction for the last eight quarters, so any analysis relies solely on the current snapshot. The combination of a low level with no observable trend suggests elevated liquidity risk: the company’s current assets are insufficient to cover near-term debts, and without trend information, there is no evidence of improvement or deterioration. This directly supports the overall CAUTIOUS verdict, as the 0.78x current ratio points to a potential strain on financial flexibility.

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