Denis Chem LabBOM:537536 -7.31%81 Current Ratio is 2.70 as of Mar. 2026, which is 34% above its 10-year median of 2.02. GuruFocus rates BOM:537536 with a GF Score™ of 81/100 and a GF Value™ of ₹118.48 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,000 Drug Manufacturers companies, Denis Chem Lab ranks better than 63.1% 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. Denis Chem Lab's current ratio for the quarter that ended in Mar. 2026 was 2.70.
Denis Chem Lab has a current ratio of 2.70. It generally indicates good short-term financial strength.
The historical rank and industry rank for Denis Chem Lab's Current Ratio or its related term are showing as below:
BOM:537536'
s Current Ratio Range Over the Past 10 Years
Min: 1.08 Med: 2.02 Max: 2.7
Current: 2.7
During the past 13 years, Denis Chem Lab's highest Current Ratio was 2.70. The lowest was 1.08. And the median was 2.02.
BOM:537536's Current Ratio is ranked better than 63.1% of 1000
companies
in the Drug Manufacturers industry
Industry Median: 2
vs BOM:537536: 2.70
Denis Chem Lab (BOM:537536) 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.
Denis Chem Lab Current Ratio Related Terms
Denis Chem Lab Current Ratio Historical Data
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The historical data trend for Denis Chem Lab'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 Drug Manufacturers - Specialty & Generic subindustry, Denis Chem Lab'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.
Denis Chem Lab Current Ratio vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Denis Chem Lab's Current Ratio distribution charts can be found below:
* The bar in red indicates where Denis Chem Lab'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.
Denis Chem Lab (BOM:537536) has a Current Ratio of 2.70 as of Mar. 2026. This is 34% above median its historical median of 2.02. Over the past decade, Denis Chem Lab's Current Ratio has ranged from 1.08 to 2.70. According to the industry distribution chart, Denis Chem Lab ranks #369 out of 1000 companies in the Drug Manufacturers industry, placing it in the top 36.9%.
Is Denis Chem Lab's Current Ratio too high?
Denis Chem Lab's current Current Ratio of 2.70 is 34% above median its 10-year median of 2.02. Over the past 10 years, this metric has ranged from a low of 1.08 to a high of 2.70. The Drug Manufacturers industry median Current Ratio is 2.00. Denis Chem Lab's value of 2.70 is 35% above this industry median. Based on the distribution chart, Denis Chem Lab ranks #369 out of 1000 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Denis Chem Lab has a GF Score™ of 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Denis Chem Lab's Current Ratio compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Denis Chem Lab ranks #369 out of 1000 companies for Current Ratio. This puts Denis Chem Lab in the upper half of its industry. The industry median Current Ratio is 2.00. Denis Chem Lab's value of 2.70 is 35% above this benchmark. Historically, Denis Chem Lab's own Current Ratio has ranged from 1.08 to 2.70 over the past decade. While the company's 10-year median is 2.02 vs. the industry median of 2.00, Denis Chem Lab 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 Drug Manufacturers company?
The median Current Ratio among Drug Manufacturers companies is 2.00, based on 1,000 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. Denis Chem Lab's current Current Ratio of 2.70 is 35% 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 Drug Manufacturers industry, the median Current Ratio is 2.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Denis Chem Lab's current Current Ratio is 2.70, which is 34% above median its own 10-year median of 2.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Denis Chem Lab stock overvalued right now?
Based on GuruFocus' analysis, Denis Chem Lab (BOM:537536) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹118.48, compared to a current price of ₹76.22 — trading 35.7% below its estimated fair value. The current Current Ratio is 2.70, which is 34% above median its 10-year median of 2.02 and 35% above the Drug Manufacturers industry median of 2.00. Denis Chem Lab's overall GF Score™ is 81/100 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 Denis Chem Lab (BOM:537536), the current Current Ratio is 2.70 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 Denis Chem Lab (BOM:537536) Overvalued in 2026?
Based on GuruFocus' analysis, Denis Chem Lab stock appears to be undervalued.
The current stock price of ₹76.22 is trading 35.7% below its estimated GF Value™ of ₹118.48.
GuruFocus considers Denis Chem Lab to be Significantly Undervalued.
Key valuation signals for BOM:537536:
Current Ratio: 2.70 (34% above median its 10-year median of 2.02)
GF Value™: ₹118.48 vs. price of ₹76.22 (35.7% below fair value)
Industry Position: 35% above the Drug Manufacturers median (#369 of 1000)
No single metric tells the full story. See the BOM:537536 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Denis Chem Lab Ltd is a pharmaceutical company involved in the manufacturing of pharmaceutical products. The company offers sterile intravenous injectables for human and veterinary use for different therapeutic areas. Its product portfolio includes antibiotic injections, diuretic injections, parenteral amino acid injections, plasma volume expanders, anti-pyretic Inj. irrigation solutions and dialysis solutions. The company has only one reportable segment which is Manufacturing, and Sales of Transfusion Solution in Bottles It generates its revenues through the sale of transfusion solution in bottles.
81GF Score
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