Bharat ElectronicsBOM:500049 +0.67%98 Current Ratio is 1.98 as of Mar. 2026, which is 33% above its 10-year median of 1.49. GuruFocus rates BOM:500049 with a GF Score™ of 98/100 and a GF Value™ of ₹395.98 (Fairly Valued). Among 358 Aerospace & Defense companies, Bharat Electronics ranks better than 51.96% 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. Bharat Electronics's current ratio for the quarter that ended in Mar. 2026 was 1.98.
Bharat Electronics has a current ratio of 1.98. It generally indicates good short-term financial strength.
The historical rank and industry rank for Bharat Electronics's Current Ratio or its related term are showing as below:
BOM:500049'
s Current Ratio Range Over the Past 10 Years
Min: 1.39 Med: 1.49 Max: 1.98
Current: 1.98
During the past 13 years, Bharat Electronics's highest Current Ratio was 1.98. The lowest was 1.39. And the median was 1.49.
BOM:500049's Current Ratio is ranked better than 51.96% of 358
companies
in the Aerospace & Defense industry
Industry Median: 1.92
vs BOM:500049: 1.98
Bharat Electronics (BOM:500049) 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.
Bharat Electronics Current Ratio Related Terms
Bharat Electronics Current Ratio Historical Data
* Premium members only.
The historical data trend for Bharat Electronics'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.
BOM:500049 vs SPCX, GE, RTX: Current Ratio Comparison
For the Aerospace & Defense subindustry, Bharat Electronics'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.
Bharat Electronics Current Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Bharat Electronics's Current Ratio distribution charts can be found below:
* The bar in red indicates where Bharat Electronics'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.
Bharat Electronics (BOM:500049) has a Current Ratio of 1.98 as of Mar. 2026. This is 33% above median its historical median of 1.49. Over the past decade, Bharat Electronics' Current Ratio has ranged from 1.39 to 1.98. According to the industry distribution chart, Bharat Electronics ranks #172 out of 358 companies in the Aerospace & Defense industry, placing it in the top 48%.
Is Bharat Electronics' Current Ratio too high?
Bharat Electronics' current Current Ratio of 1.98 is 33% above median its 10-year median of 1.49. Over the past 10 years, this metric has ranged from a low of 1.39 to a high of 1.98. The Aerospace & Defense industry median Current Ratio is 1.92. Bharat Electronics' value of 1.98 is 3.1% above this industry median. Based on the distribution chart, Bharat Electronics ranks #172 out of 358 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Bharat Electronics has a GF Score™ of 98/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Bharat Electronics' Current Ratio compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Bharat Electronics ranks #172 out of 358 companies for Current Ratio. This puts Bharat Electronics in the upper half of its industry. The industry median Current Ratio is 1.92. Bharat Electronics' value of 1.98 is 3.1% above this benchmark. Historically, Bharat Electronics' own Current Ratio has ranged from 1.39 to 1.98 over the past decade. While the company's 10-year median is 1.49 vs. the industry median of 1.92, Bharat Electronics 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 an Aerospace & Defense company?
The median Current Ratio among Aerospace & Defense companies is 1.92, based on 358 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. Bharat Electronics's current Current Ratio of 1.98 is 3.1% 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 Aerospace & Defense industry, the median Current Ratio is 1.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bharat Electronics's current Current Ratio is 1.98, which is 33% above median its own 10-year median of 1.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bharat Electronics stock overvalued right now?
Based on GuruFocus' analysis, Bharat Electronics (BOM:500049) is currently considered Fairly Valued. The stock's GF Value™ is ₹395.98, compared to a current price of ₹418.00 — trading 5.6% above its estimated fair value. The current Current Ratio is 1.98, which is 33% above median its 10-year median of 1.49 and 3.1% above the Aerospace & Defense industry median of 1.92. Bharat Electronics' overall GF Score™ is 98/100. 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 Bharat Electronics (BOM:500049), the current Current Ratio is 1.98 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 Bharat Electronics (BOM:500049) Overvalued in 2026?
Based on GuruFocus' analysis, Bharat Electronics stock appears to be overvalued.
The current stock price of ₹418.00 is trading 5.6% above its estimated GF Value™ of ₹395.98.
GuruFocus considers Bharat Electronics to be Fairly Valued.
Key valuation signals for BOM:500049:
Current Ratio: 1.98 (33% above median its 10-year median of 1.49)
GF Value™: ₹395.98 vs. price of ₹418.00 (5.6% above fair value)
Industry Position: 3.1% above the Aerospace & Defense median (#172 of 358)
No single metric tells the full story. See the BOM:500049 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bharat Electronics Ltd is an aerospace and defense company predominantly owned by the Indian government. It manufactures a wide range of specialized electronics and equipment for defense and civilian use. Its investments are made in research and development to meet the ever-changing needs of customers and to test products in its pipeline. Its product portfolio includes unmanned systems, land-based radars, batteries, weapon systems, fuzes, simulators, and jammers, among others. It also provides cybersecurity and software products. A majority of the company's revenue is derived from the defense sector. Geographically, the company's key revenue is derived from India, and it also has international customers from countries like the United Kingdom, Israel, and others.
98GF Score
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