Current Ratio
Higher than 36% of Healthcare sector peers
Updated 30h ago
Sector Performance
36th percentileTMO
1.53x
Sector Median
2.02x
Sector Avg
3.77x
Deep Analysis
The current ratio measures a company’s ability to pay short-term liabilities with short-term assets; a ratio of 1.53x means TMO has $1.53 in current assets for every $1 of current liabilities.
Among Healthcare sector peers, the median current ratio is 2.02x, placing TMO at the 36th percentile — meaning it is below average in short-term liquidity compared to similar firms. No trend data is available: the year-over-year change is N/A, and the quarter-over-quarter change is N/A, so the ratio’s stability over time cannot be assessed from the provided figures. The combination of a below-median current ratio and a flat trend suggests a moderate liquidity risk but no immediate deterioration, which typically warrants caution rather than alarm. This metric does not contradict the overall NEUTRAL verdict — the lower liquidity is a concerning factor, but without a downward trend it does not justify a bearish stance, leaving the stock in a balanced position.
Frequently Asked Questions
What does the Current Ratio tell investors about TMO?
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 TMO's Current Ratio compare to its sector?
TMO's Current Ratio of 1.53x compares to a Healthcare sector median of 2.02x, placing it in the 36th percentile.
Who are TMO's closest peers by Current Ratio?
The closest Healthcare peers by Current Ratio include: RARE (2.02x), A (2.10x), BSX (1.90x), EXAS (2.23x), ALGN (1.39x).
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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1.53x
Sector Median
2.02x
Sector Avg
3.77x
How TMO's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.