Hindustan Adhesives (BOM:514428) Current Ratio: 0.87 (As of Mar. 2026) — 19% Below Median

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BOM:514428 Hindustan Adhesives Ltd BOM:514428
69 GF Score
Price ₹262.25
GF Value ₹335.31
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is Hindustan Adhesives Current Ratio?

Hindustan Adhesives BOM:514428 -2.13% 69 Current Ratio is 0.87 as of Mar. 2026, which is 19% below its 10-year median of 1.07. GuruFocus rates BOM:514428 with a GF Score™ of 69/100 and a GF Value™ of ₹335.31 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,605 Chemicals companies, Hindustan Adhesives ranks worse than 88.66% 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. Hindustan Adhesives's current ratio for the quarter that ended in Mar. 2026 was 0.87.

Hindustan Adhesives has a current ratio of 0.87. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Hindustan Adhesives has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.

The historical rank and industry rank for Hindustan Adhesives's Current Ratio or its related term are showing as below:

BOM:514428' s Current Ratio Range Over the Past 10 Years
Min: 0.87   Med: 1.07   Max: 1.17
Current: 0.87

During the past 13 years, Hindustan Adhesives's highest Current Ratio was 1.17. The lowest was 0.87. And the median was 1.07.

BOM:514428's Current Ratio is ranked worse than
88.66% of 1605 companies
in the Chemicals industry
Industry Median: 1.89 vs BOM:514428: 0.87

Hindustan Adhesives  (BOM:514428) 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.


Hindustan Adhesives Current Ratio Related Terms


Hindustan Adhesives Current Ratio Historical Data

* Premium members only.

The historical data trend for Hindustan Adhesives'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.

Hindustan Adhesives Current Ratio Chart

Hindustan Adhesives Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Current Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.06 1.00 0.97 1.00 0.87

Hindustan Adhesives Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Current Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.00 0.00 1.00 0.00 0.87

BOM:514428 vs LIN, SHW, ECL: Current Ratio Comparison

For the Specialty Chemicals subindustry, Hindustan Adhesives'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.


Hindustan Adhesives Current Ratio vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Hindustan Adhesives's Current Ratio distribution charts can be found below:

* The bar in red indicates where Hindustan Adhesives's Current Ratio falls into.


BOM:514428
69GF Score
Hindustan Adhesives Ltd BOM:514428
Current Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hindustan Adhesives Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Hindustan Adhesives's Current Ratio for the fiscal year that ended in Mar. 2026 is calculated as

Current Ratio (A: Mar. 2026 )=Total Current Assets (A: Mar. 2026 )/Total Current Liabilities (A: Mar. 2026 )
=1198.5/1376.9
=0.87

Hindustan Adhesives's Current Ratio for the quarter that ended in Mar. 2026 is calculated as

Current Ratio (Q: Mar. 2026 )=Total Current Assets (Q: Mar. 2026 )/Total Current Liabilities (Q: Mar. 2026 )
=1198.5/1376.9
=0.87

* 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.

Frequently Asked Questions Learn more about Current Ratio →
What does a Current Ratio of 0.87 mean?
Hindustan Adhesives (BOM:514428) has a Current Ratio of 0.87 as of Mar. 2026. This is 19% below median its historical median of 1.07. Over the past decade, Hindustan Adhesives' Current Ratio has ranged from 0.87 to 1.17. According to the industry distribution chart, Hindustan Adhesives ranks #1423 out of 1605 companies in the Chemicals industry, placing it in the top 88.7%.
Is Hindustan Adhesives' Current Ratio too high?
Hindustan Adhesives' current Current Ratio of 0.87 is 19% below median its 10-year median of 1.07. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 1.17. The Chemicals industry median Current Ratio is 1.89. Hindustan Adhesives' value of 0.87 is 54% below this industry median. Based on the distribution chart, Hindustan Adhesives ranks #1423 out of 1605 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, Hindustan Adhesives has a GF Score™ of 69/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hindustan Adhesives' Current Ratio compare to LIN and SHW?
According to the Chemicals industry distribution chart, Hindustan Adhesives ranks #1423 out of 1605 companies for Current Ratio. This places Hindustan Adhesives in the lower half of its industry. The industry median Current Ratio is 1.89. Hindustan Adhesives' value of 0.87 is 54% below this benchmark. Historically, Hindustan Adhesives' own Current Ratio has ranged from 0.87 to 1.17 over the past decade. While the company's 10-year median is 1.07 vs. the industry median of 1.89, Hindustan Adhesives 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 Chemicals company?
The median Current Ratio among Chemicals companies is 1.89, based on 1,605 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. Hindustan Adhesives's current Current Ratio of 0.87 is 54% 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 Chemicals industry, the median Current Ratio is 1.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hindustan Adhesives's current Current Ratio is 0.87, which is 19% below median its own 10-year median of 1.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hindustan Adhesives stock overvalued right now?
Based on GuruFocus' analysis, Hindustan Adhesives (BOM:514428) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹335.31, compared to a current price of ₹262.25 — trading 21.8% below its estimated fair value. The current Current Ratio is 0.87, which is 19% below median its 10-year median of 1.07 and 54% below the Chemicals industry median of 1.89. Hindustan Adhesives' overall GF Score™ is 69/100 with 3 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 Hindustan Adhesives (BOM:514428), the current Current Ratio is 0.87 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 Hindustan Adhesives (BOM:514428) Overvalued in 2026?

Based on GuruFocus' analysis, Hindustan Adhesives stock appears to be undervalued. The current stock price of ₹262.25 is trading 21.8% below its estimated GF Value™ of ₹335.31. GuruFocus considers Hindustan Adhesives to be Modestly Undervalued.

Key valuation signals for BOM:514428:

  • Current Ratio: 0.87 (19% below median its 10-year median of 1.07)
  • GF Value™: ₹335.31 vs. price of ₹262.25 (21.8% below fair value)
  • GF Score™: 69/100 with 3 warning signs
  • Industry Position: 54% below the Chemicals median (#1423 of 1605)

No single metric tells the full story. See the BOM:514428 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hindustan Adhesives Business Description

Address B-2/8, Safdarjung Enclave, New Delhi, IND, 110029
Hindustan Adhesives Ltd is a producer and marketer of adhesive tapes. The company offers products such as acrylic packaging tapes, hot melt packaging tapes, natural rubber packaging tapes, kraft paper tapes, tamper-evident tapes, tear tapes, polyolefin shrink film, and shrink wrapping machines. Its customers include Unilever, PepsiCo, Coca-Cola, P&G, Reckitt Benckiser, Cadbury, and Nestle, among others.
69GF Score

Get the complete analysis for BOM:514428

Current Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹262.25
Price
₹335.31
GF Value