Motorcycle HoldingsASX:MTO -0.81%85 Current Ratio is 1.56 as of Dec. 2025, which is 7% below its 10-year median of 1.68. GuruFocus rates ASX:MTO with a GF Score™ of 85/100 and a GF Value™ of A$2.64 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,337 Vehicles & Parts companies, Motorcycle Holdings ranks better than 51.08% on this metric.
The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Motorcycle Holdings's current ratio for the quarter that ended in Dec. 2025 was 1.56.
Motorcycle Holdings has a current ratio of 1.56. It generally indicates good short-term financial strength.
The historical rank and industry rank for Motorcycle Holdings's Current Ratio or its related term are showing as below:
ASX:MTO'
s Current Ratio Range Over the Past 10 Years
Min: 1.39 Med: 1.68 Max: 2.46
Current: 1.56
During the past 10 years, Motorcycle Holdings's highest Current Ratio was 2.46. The lowest was 1.39. And the median was 1.68.
ASX:MTO's Current Ratio is ranked better than 51.08% of 1337
companies
in the Vehicles & Parts industry
Industry Median: 1.54
vs ASX:MTO: 1.56
Motorcycle Holdings (ASX:MTO) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Motorcycle Holdings Current Ratio Related Terms
Motorcycle Holdings Current Ratio Historical Data
* Premium members only.
The historical data trend for Motorcycle Holdings's Current 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.
ASX:MTO vs CVNA, PAG, ALTB: Current Ratio Comparison
For the Auto & Truck Dealerships subindustry, Motorcycle Holdings's Current Ratio, along with its competitors' market caps and Current 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.
Motorcycle Holdings Current Ratio vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Motorcycle Holdings's Current Ratio distribution charts can be found below:
* The bar in red indicates where Motorcycle Holdings's Current 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.
Motorcycle Holdings (ASX:MTO) has a Current Ratio of 1.56 as of Dec. 2025. This is near median its historical median of 1.68. Over the past decade, Motorcycle Holdings' Current Ratio has ranged from 1.39 to 2.46. According to the industry distribution chart, Motorcycle Holdings ranks #654 out of 1337 companies in the Vehicles & Parts industry, placing it in the top 48.9%.
Is Motorcycle Holdings' Current Ratio too high?
Motorcycle Holdings' current Current Ratio of 1.56 is near median its 10-year median of 1.68. Over the past 10 years, this metric has ranged from a low of 1.39 to a high of 2.46. The Vehicles & Parts industry median Current Ratio is 1.54. Motorcycle Holdings' value of 1.56 is 1.3% above this industry median. Based on the distribution chart, Motorcycle Holdings ranks #654 out of 1337 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Motorcycle Holdings has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Motorcycle Holdings' Current Ratio compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Motorcycle Holdings ranks #654 out of 1337 companies for Current Ratio. This puts Motorcycle Holdings in the upper half of its industry. The industry median Current Ratio is 1.54. Motorcycle Holdings' value of 1.56 is 1.3% above this benchmark. Historically, Motorcycle Holdings' own Current Ratio has ranged from 1.39 to 2.46 over the past decade. While the company's 10-year median is 1.68 vs. the industry median of 1.54, Motorcycle Holdings has consistently been above 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 Current Ratio for a Vehicles & Parts company?
The median Current Ratio among Vehicles & Parts companies is 1.54, based on 1,337 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Motorcycle Holdings's current Current Ratio of 1.56 is 1.3% above 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 Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Vehicles & Parts industry, the median Current Ratio is 1.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Motorcycle Holdings's current Current Ratio is 1.56, which is near median its own 10-year median of 1.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Motorcycle Holdings stock overvalued right now?
Based on GuruFocus' analysis, Motorcycle Holdings (ASX:MTO) is currently considered Fairly Valued. The stock's GF Value™ is A$2.64, compared to a current price of A$2.45 — trading 7.2% below its estimated fair value. The current Current Ratio is 1.56, which is near median its 10-year median of 1.68 and 1.3% above the Vehicles & Parts industry median of 1.54. Motorcycle Holdings' overall GF Score™ is 85/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Motorcycle Holdings (ASX:MTO), the current Current Ratio is 1.56 as of Dec. 2025. 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 Motorcycle Holdings (ASX:MTO) Overvalued in 2026?
Based on GuruFocus' analysis, Motorcycle Holdings stock appears to be undervalued.
The current stock price of A$2.45 is trading 7.2% below its estimated GF Value™ of A$2.64.
GuruFocus considers Motorcycle Holdings to be Fairly Valued.
Key valuation signals for ASX:MTO:
Current Ratio: 1.56 (near median its 10-year median of 1.68)
GF Value™: A$2.64 vs. price of A$2.45 (7.2% below fair value)
Industry Position: 1.3% above the Vehicles & Parts median (#654 of 1337)
No single metric tells the full story. See the ASX:MTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Motorcycle Holdings Ltd is a motorcycle dealer in Australia. It has two reporting segments. First, Motorcycle Retailing, which offers a range of motorcycle products and services to the general public in Australia, including the sale of new and used motorcycles, parts, servicing, accessories, and MPPs. The segment also facilitates insurance and financing for motorcycle purchases through third-party sources. Second, the Motorcycle and Accessories Wholesaling segment, which imports and distributes a range of motorcycles, ATVs, scooters, and motorcycle parts and accessories to wholesale customers in Australia and New Zealand, including the Group's own retail outlets.
85GF Score
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