CARE Ratings (BOM:534804) Current Ratio: 5.76 (As of Mar. 2026) — 26% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BOM:534804 CARE Ratings Ltd BOM:534804
81 GF Score
Price ₹1,746.10
GF Value ₹1,709.11
Valuation Fairly Valued
! 1 Warning Sign
View Full Analysis

What is CARE Ratings Current Ratio?

CARE Ratings BOM:534804 +1.00% 81 Current Ratio is 5.76 as of Mar. 2026, which is 26% below its 10-year median of 7.83. GuruFocus rates BOM:534804 with a GF Score™ of 81/100 and a GF Value™ of ₹1,709.11 (Fairly Valued). The stock has 1 warning sign investors should review. Among 693 Capital Markets companies, CARE Ratings ranks better than 69.84% 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. CARE Ratings's current ratio for the quarter that ended in Mar. 2026 was 5.76.

CARE Ratings has a current ratio of 5.76. It indicates the company may not be efficiently using its current assets or its short-term financing facilities. This may also indicate problems in working capital management.

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

BOM:534804' s Current Ratio Range Over the Past 10 Years
Min: 4.95   Med: 7.83   Max: 11.01
Current: 5.76

During the past 13 years, CARE Ratings's highest Current Ratio was 11.01. The lowest was 4.95. And the median was 7.83.

BOM:534804's Current Ratio is ranked better than
69.84% of 693 companies
in the Capital Markets industry
Industry Median: 2.27 vs BOM:534804: 5.76

CARE Ratings  (BOM:534804) 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.


CARE Ratings Current Ratio Related Terms


CARE Ratings Current Ratio Historical Data

* Premium members only.

The historical data trend for CARE Ratings'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.

CARE Ratings Current Ratio Chart

CARE Ratings 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 11.01 10.41 8.57 7.08 5.76

CARE Ratings 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 7.08 0.00 6.33 0.00 5.76

BOM:534804 vs SPGI, CME, ICE: Current Ratio Comparison

For the Financial Data & Stock Exchanges subindustry, CARE Ratings'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.


CARE Ratings Current Ratio vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, CARE Ratings's Current Ratio distribution charts can be found below:

* The bar in red indicates where CARE Ratings's Current Ratio falls into.


BOM:534804
81GF Score
CARE Ratings Ltd BOM:534804
Current Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

CARE Ratings 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.

CARE Ratings'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 )
=6773.089/1176.833
=5.76

CARE Ratings'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 )
=6773.089/1176.833
=5.76

* 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 5.76 mean?
CARE Ratings (BOM:534804) has a Current Ratio of 5.76 as of Mar. 2026. This is 26% below median its historical median of 7.83. Over the past decade, CARE Ratings' Current Ratio has ranged from 4.95 to 11.01. According to the industry distribution chart, CARE Ratings ranks #209 out of 693 companies in the Capital Markets industry, placing it in the top 30.2%.
Is CARE Ratings' Current Ratio too high?
CARE Ratings' current Current Ratio of 5.76 is 26% below median its 10-year median of 7.83. Over the past 10 years, this metric has ranged from a low of 4.95 to a high of 11.01. The Capital Markets industry median Current Ratio is 2.27. CARE Ratings' value of 5.76 is 153.7% above this industry median. Based on the distribution chart, CARE Ratings ranks #209 out of 693 companies in the Capital Markets industry, which is above the industry midpoint. Overall, CARE Ratings has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does CARE Ratings' Current Ratio compare to SPGI and CME?
According to the Capital Markets industry distribution chart, CARE Ratings ranks #209 out of 693 companies for Current Ratio. This puts CARE Ratings in the upper half of its industry. The industry median Current Ratio is 2.27. CARE Ratings' value of 5.76 is 153.7% above this benchmark. Historically, CARE Ratings' own Current Ratio has ranged from 4.95 to 11.01 over the past decade. While the company's 10-year median is 7.83 vs. the industry median of 2.27, CARE Ratings 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 Capital Markets company?
The median Current Ratio among Capital Markets companies is 2.27, based on 693 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. CARE Ratings's current Current Ratio of 5.76 is 153.7% 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 Capital Markets industry, the median Current Ratio is 2.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CARE Ratings's current Current Ratio is 5.76, which is 26% below median its own 10-year median of 7.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CARE Ratings stock overvalued right now?
Based on GuruFocus' analysis, CARE Ratings (BOM:534804) is currently considered Fairly Valued. The stock's GF Value™ is ₹1,709.11, compared to a current price of ₹1,746.10 — trading 2.2% above its estimated fair value. The current Current Ratio is 5.76, which is 26% below median its 10-year median of 7.83 and 153.7% above the Capital Markets industry median of 2.27. CARE Ratings' overall GF Score™ is 81/100 with 1 warning sign 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 CARE Ratings (BOM:534804), the current Current Ratio is 5.76 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 CARE Ratings (BOM:534804) Overvalued in 2026?

Based on GuruFocus' analysis, CARE Ratings stock appears to be overvalued. The current stock price of ₹1,746.10 is trading 2.2% above its estimated GF Value™ of ₹1,709.11. GuruFocus considers CARE Ratings to be Fairly Valued.

Key valuation signals for BOM:534804:

  • Current Ratio: 5.76 (26% below median its 10-year median of 7.83)
  • GF Value™: ₹1,709.11 vs. price of ₹1,746.10 (2.2% above fair value)
  • GF Score™: 81/100 with 1 warning sign
  • Industry Position: 153.7% above the Capital Markets median (#209 of 693)

No single metric tells the full story. See the BOM:534804 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


CARE Ratings Business Description

Other Exchanges CARERATING:India
Address Somaiya Hospital Road, Off Eastern Express Highway, 4th Floor, Godrej Coliseum, Sion (East), Mumbai, MH, IND, 400 022
CARE Ratings Ltd provides various credit ratings that helps corporates to raise capital for their various requirements and assists the investors to form an informed investment decision based on the credit risk and their own risk-return expectations. The company works in Bank Loan Ratings; Capital Market Instruments, Including NCDs/ Bonds/ Hybrids/ CPs/CDs, etc; Structured Finance Ratings; Monitoring Agency Services for Equity Capital; Rating of REITs /InvITs; Resolution Plan Ratings; Recovery Ratings; Issuer Ratings. The company's segment includes Ratings and related services; and Others. The company generates majority of revenue from Ratings and related services. The company has presence in India, and Outside India. It generates majority of revenue from India.
81GF Score

Get the complete analysis for BOM:534804

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

₹1,746.10
Price
₹1,709.11
GF Value