ScanSourceSCSC +1.58%73 Cash Ratio is 0.16 as of Mar. 2026, which is 129% above its 10-year median of 0.07. GuruFocus rates SCSC with a GF Score™ of 73/100 and a GF Value™ of $43.61 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 2,477 Hardware companies, ScanSource ranks worse than 85.35% on this metric.
ScanSource has a Cash Ratio of 0.16. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for ScanSource's Cash Ratio or its related term are showing as below:
SCSC'
s Cash Ratio Range Over the Past 10 Years
Min: 0.02 Med: 0.07 Max: 0.28
Current: 0.16
During the past 13 years, ScanSource's highest Cash Ratio was 0.28. The lowest was 0.02. And the median was 0.07.
SCSC's Cash Ratio is ranked worse than 85.35% of 2477
companies
in the Hardware industry
Industry Median: 0.64
vs SCSC: 0.16
ScanSource (NAS:SCSC) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
ScanSource Cash Ratio Related Terms
ScanSource Cash Ratio Historical Data
* Premium members only.
The historical data trend for ScanSource's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Electronics & Computer Distribution subindustry, ScanSource's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
ScanSource Cash Ratio vs Hardware Industry
For the Hardware industry and Technology sector, ScanSource's Cash Ratio distribution charts can be found below:
* The bar in red indicates where ScanSource's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ScanSource (SCSC) has a Cash Ratio of 0.16 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on ScanSource and its competitors. This is 129% above median its historical median of 0.07. Over the past decade, ScanSource's Cash Ratio has ranged from 0.02 to 0.28. According to the industry distribution chart, ScanSource ranks #2114 out of 2477 companies in the Hardware industry, placing it in the top 85.3%.
Is ScanSource's Cash Ratio too high?
ScanSource's current Cash Ratio of 0.16 is 129% above median its 10-year median of 0.07. Over the past 10 years, this metric has ranged from a low of 0.02 to a high of 0.28. The Hardware industry median Cash Ratio is 0.64. ScanSource's value of 0.16 is 75% below this industry median. Based on the distribution chart, ScanSource ranks #2114 out of 2477 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, ScanSource has a GF Score™ of 73/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ScanSource's Cash Ratio compare to NLST and CLMB?
According to the Hardware industry distribution chart, ScanSource ranks #2114 out of 2477 companies for Cash Ratio. This places ScanSource in the lower half of its industry. The industry median Cash Ratio is 0.64. ScanSource's value of 0.16 is 75% below this benchmark. Historically, ScanSource's own Cash Ratio has ranged from 0.02 to 0.28 over the past decade. While the company's 10-year median is 0.07 vs. the industry median of 0.64, ScanSource has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Hardware company?
The median Cash Ratio among Hardware companies is 0.64, based on 2,477 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ScanSource's current Cash Ratio of 0.16 is 75% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on ScanSource and its competitors. For the Hardware industry, the median Cash Ratio is 0.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ScanSource's current Cash Ratio is 0.16, which is 129% above median its own 10-year median of 0.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ScanSource stock overvalued right now?
Based on GuruFocus' analysis, ScanSource (SCSC) is currently considered Modestly Overvalued. The stock's GF Value™ is $43.61, compared to a current price of $52.10 — trading 19.5% above its estimated fair value. The current Cash Ratio is 0.16, which is 129% above median its 10-year median of 0.07 and 75% below the Hardware industry median of 0.64. ScanSource's overall GF Score™ is 73/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For ScanSource (SCSC), the current Cash Ratio is 0.16 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is ScanSource (SCSC) Overvalued in 2026?
Based on GuruFocus' analysis, ScanSource stock appears to be overvalued.
The current stock price of $52.10 is trading 19.5% above its estimated GF Value™ of $43.61.
GuruFocus considers ScanSource to be Modestly Overvalued.
Key valuation signals for SCSC:
Cash Ratio: 0.16 (129% above median its 10-year median of 0.07)
GF Value™: $43.61 vs. price of $52.10 (19.5% above fair value)
Industry Position: 75% below the Hardware median (#2114 of 2477)
No single metric tells the full story. See the SCSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ScanSource Inc provides value-added services for technology manufacturers and sells to resellers in specialty technology markets. The firm's operations are organized in two segments: Specialty Technology Solutions and Intelisys & Advisory Segment. It generates maximum revenue from the Specialty Technology Solutions segment. The Specialty Technology Solutions segment includes the company's business in mobility and barcode, POS, payments, security and networking technologies. Geographically, it derives a majority of revenue from the United States and Canada, and also has its presence in Brazil, and other countries.
73GF Score
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