PWR HoldingsASX:PWH -1.87%95 Current Ratio is 1.95 as of Dec. 2025, which is 38% below its 10-year median of 3.16. GuruFocus rates ASX:PWH with a GF Score™ of 95/100 and a GF Value™ of A$12.68 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,337 Vehicles & Parts companies, PWR Holdings ranks better than 64.92% 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. PWR Holdings's current ratio for the quarter that ended in Dec. 2025 was 1.95.
PWR Holdings has a current ratio of 1.95. It generally indicates good short-term financial strength.
The historical rank and industry rank for PWR Holdings's Current Ratio or its related term are showing as below:
ASX:PWH'
s Current Ratio Range Over the Past 10 Years
Min: 1.95 Med: 3.16 Max: 4.69
Current: 1.95
During the past 10 years, PWR Holdings's highest Current Ratio was 4.69. The lowest was 1.95. And the median was 3.16.
ASX:PWH's Current Ratio is ranked better than 64.92% of 1337
companies
in the Vehicles & Parts industry
Industry Median: 1.54
vs ASX:PWH: 1.95
PWR Holdings (ASX:PWH) 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.
PWR Holdings Current Ratio Related Terms
PWR Holdings Current Ratio Historical Data
* Premium members only.
The historical data trend for PWR 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.
For the Auto Parts subindustry, PWR 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.
PWR Holdings Current Ratio vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, PWR Holdings's Current Ratio distribution charts can be found below:
* The bar in red indicates where PWR 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.
PWR Holdings (ASX:PWH) has a Current Ratio of 1.95 as of Dec. 2025. This is 38% below median its historical median of 3.16. Over the past decade, PWR Holdings' Current Ratio has ranged from 1.95 to 4.69. According to the industry distribution chart, PWR Holdings ranks #469 out of 1337 companies in the Vehicles & Parts industry, placing it in the top 35.1%.
Is PWR Holdings' Current Ratio too high?
PWR Holdings' current Current Ratio of 1.95 is 38% below median its 10-year median of 3.16. Over the past 10 years, this metric has ranged from a low of 1.95 to a high of 4.69. The Vehicles & Parts industry median Current Ratio is 1.54. PWR Holdings' value of 1.95 is 26.6% above this industry median. Based on the distribution chart, PWR Holdings ranks #469 out of 1337 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, PWR Holdings has a GF Score™ of 95/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does PWR Holdings' Current Ratio compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, PWR Holdings ranks #469 out of 1337 companies for Current Ratio. This puts PWR Holdings in the upper half of its industry. The industry median Current Ratio is 1.54. PWR Holdings' value of 1.95 is 26.6% above this benchmark. Historically, PWR Holdings' own Current Ratio has ranged from 1.95 to 4.69 over the past decade. While the company's 10-year median is 3.16 vs. the industry median of 1.54, PWR 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. PWR Holdings's current Current Ratio of 1.95 is 26.6% 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. PWR Holdings's current Current Ratio is 1.95, which is 38% below median its own 10-year median of 3.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PWR Holdings stock overvalued right now?
Based on GuruFocus' analysis, PWR Holdings (ASX:PWH) is currently considered Possible Value Trap. The stock's GF Value™ is A$12.68, compared to a current price of A$7.87 — trading 37.9% below its estimated fair value. The current Current Ratio is 1.95, which is 38% below median its 10-year median of 3.16 and 26.6% above the Vehicles & Parts industry median of 1.54. PWR Holdings' overall GF Score™ is 95/100 with 7 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 PWR Holdings (ASX:PWH), the current Current Ratio is 1.95 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 PWR Holdings (ASX:PWH) Overvalued in 2026?
Based on GuruFocus' analysis, PWR Holdings stock appears to be undervalued.
The current stock price of A$7.87 is trading 37.9% below its estimated GF Value™ of A$12.68.
GuruFocus considers PWR Holdings to be Possible Value Trap.
Key valuation signals for ASX:PWH:
Current Ratio: 1.95 (38% below median its 10-year median of 3.16)
GF Value™: A$12.68 vs. price of A$7.87 (37.9% below fair value)
Industry Position: 26.6% above the Vehicles & Parts median (#469 of 1337)
No single metric tells the full story. See the ASX:PWH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PWR Holdings is a designer, manufacturer, and supplier of cooling solutions for motorsports and the performance automotive industry. PWR produces aluminum radiators, intercoolers, heat exchangers, oil coolers, and other cooling accessories for motorsports, performance automotive original equipment manufacturers, the automotive aftermarket, and aerospace and defense sectors. The motorsports segment generates the majority of revenue, while OEM and aftermarket constitute over a third of the income stream. PWR's products are primarily sold in North America and Europe.
95GF Score
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