Somerset MineralsASX:SMM -12.50% Current Ratio is 2.14 as of Dec. 2025, which is at its 10-year median of 2.14. The stock has 4 warning signs investors should review. Among 2,638 Metals & Mining companies, Somerset Minerals ranks worse than 55.53% 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. Somerset Minerals's current ratio for the quarter that ended in Dec. 2025 was 2.14.
Somerset Minerals has a current ratio of 2.14. It generally indicates good short-term financial strength.
The historical rank and industry rank for Somerset Minerals's Current Ratio or its related term are showing as below:
ASX:SMM'
s Current Ratio Range Over the Past 10 Years
Min: 0.52 Med: 2.14 Max: 42.38
Current: 2.14
During the past 7 years, Somerset Minerals's highest Current Ratio was 42.38. The lowest was 0.52. And the median was 2.14.
ASX:SMM's Current Ratio is ranked worse than 55.53% of 2638
companies
in the Metals & Mining industry
Industry Median: 2.64
vs ASX:SMM: 2.14
Somerset Minerals (ASX:SMM) 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.
Somerset Minerals Current Ratio Related Terms
Somerset Minerals Current Ratio Historical Data
* Premium members only.
The historical data trend for Somerset Minerals'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.
Somerset Minerals Current Ratio Competitor Comparison
For the Other Industrial Metals & Mining subindustry, Somerset Minerals'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.
Somerset Minerals Current Ratio vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Somerset Minerals's Current Ratio distribution charts can be found below:
* The bar in red indicates where Somerset Minerals'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.
Somerset Minerals (ASX:SMM) has a Current Ratio of 2.14 as of Dec. 2025. This is near median its historical median of 2.14. Over the past decade, Somerset Minerals' Current Ratio has ranged from 0.52 to 42.38. According to the industry distribution chart, Somerset Minerals ranks #1465 out of 2638 companies in the Metals & Mining industry, placing it in the top 55.5%.
Is Somerset Minerals' Current Ratio too high?
Somerset Minerals' current Current Ratio of 2.14 is near median its 10-year median of 2.14. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 42.38. The Metals & Mining industry median Current Ratio is 2.64. Somerset Minerals' value of 2.14 is 18.9% below this industry median. Based on the distribution chart, Somerset Minerals ranks #1465 out of 2638 companies in the Metals & Mining industry, which is below the industry midpoint.
How does Somerset Minerals' Current Ratio compare to competitors?
According to the Metals & Mining industry distribution chart, Somerset Minerals ranks #1465 out of 2638 companies for Current Ratio. This places Somerset Minerals in the lower half of its industry. The industry median Current Ratio is 2.64. Somerset Minerals' value of 2.14 is 18.9% below this benchmark. Historically, Somerset Minerals' own Current Ratio has ranged from 0.52 to 42.38 over the past decade. While the company's 10-year median is 2.14 vs. the industry median of 2.64, Somerset Minerals 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 Current Ratio for a Metals & Mining company?
The median Current Ratio among Metals & Mining companies is 2.64, based on 2,638 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. Somerset Minerals's current Current Ratio of 2.14 is 18.9% 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 Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Metals & Mining industry, the median Current Ratio is 2.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Somerset Minerals's current Current Ratio is 2.14, which is near median its own 10-year median of 2.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Somerset Minerals stock overvalued right now?
Somerset Minerals (ASX:SMM) has a current Current Ratio of 2.14. The current Current Ratio is 2.14, which is near median its 10-year median of 2.14 and 18.9% below the Metals & Mining industry median of 2.64. 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 Somerset Minerals (ASX:SMM), the current Current Ratio is 2.14 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.
Somerset Minerals Ltd is engaged in mineral exploration mainly in Canada and Ecuador. It has a portfolio of prospective precious and base metals projects, which includes Coppermine, Prescott, and Elizabeth-Blackdome projects in Canada, and the Rio Zarza projects in Ecuador. The group operates in three geographical segments within mineral exploration and extraction, being Australia, Canada, and Ecuador. The majority of its income is generated from its corporate and exploration activities in Canada.
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