Localiza Rent A CarBSP:RENT4 +1.09%71 Current Ratio is 1.23 as of Mar. 2026, which is 4% below its 10-year median of 1.28. GuruFocus rates BSP:RENT4 with a GF Score™ of 71/100 and a GF Value™ of R$53.66 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 1,092 Business Services companies, Localiza Rent A Car ranks worse than 72.07% 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. Localiza Rent A Car's current ratio for the quarter that ended in Mar. 2026 was 1.23.
Localiza Rent A Car has a current ratio of 1.23. It generally indicates good short-term financial strength.
The historical rank and industry rank for Localiza Rent A Car's Current Ratio or its related term are showing as below:
BSP:RENT4'
s Current Ratio Range Over the Past 10 Years
Min: 0.96 Med: 1.28 Max: 2.22
Current: 1.23
During the past 13 years, Localiza Rent A Car's highest Current Ratio was 2.22. The lowest was 0.96. And the median was 1.28.
BSP:RENT4's Current Ratio is ranked worse than 72.07% of 1092
companies
in the Business Services industry
Industry Median: 1.81
vs BSP:RENT4: 1.23
Localiza Rent A Car (BSP:RENT4) 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.
Localiza Rent A Car Current Ratio Related Terms
Localiza Rent A Car Current Ratio Historical Data
* Premium members only.
The historical data trend for Localiza Rent A Car'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.
BSP:RENT4 vs URI, SUNB, AER: Current Ratio Comparison
For the Rental & Leasing Services subindustry, Localiza Rent A Car'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.
Localiza Rent A Car Current Ratio vs Business Services Industry
For the Business Services industry and Industrials sector, Localiza Rent A Car's Current Ratio distribution charts can be found below:
* The bar in red indicates where Localiza Rent A Car'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.
Localiza Rent A Car (BSP:RENT4) has a Current Ratio of 1.23 as of Mar. 2026. This is near median its historical median of 1.28. Over the past decade, Localiza Rent A Car's Current Ratio has ranged from 0.96 to 2.22. According to the industry distribution chart, Localiza Rent A Car ranks #787 out of 1092 companies in the Business Services industry, placing it in the top 72.1%.
Is Localiza Rent A Car's Current Ratio too high?
Localiza Rent A Car's current Current Ratio of 1.23 is near median its 10-year median of 1.28. Over the past 10 years, this metric has ranged from a low of 0.96 to a high of 2.22. The Business Services industry median Current Ratio is 1.81. Localiza Rent A Car's value of 1.23 is 32% below this industry median. Based on the distribution chart, Localiza Rent A Car ranks #787 out of 1092 companies in the Business Services industry, which is below the industry midpoint. Overall, Localiza Rent A Car has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Localiza Rent A Car's Current Ratio compare to URI and SUNB?
According to the Business Services industry distribution chart, Localiza Rent A Car ranks #787 out of 1092 companies for Current Ratio. This places Localiza Rent A Car in the lower half of its industry. The industry median Current Ratio is 1.81. Localiza Rent A Car's value of 1.23 is 32% below this benchmark. Historically, Localiza Rent A Car's own Current Ratio has ranged from 0.96 to 2.22 over the past decade. While the company's 10-year median is 1.28 vs. the industry median of 1.81, Localiza Rent A Car 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 Business Services company?
The median Current Ratio among Business Services companies is 1.81, based on 1,092 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. Localiza Rent A Car's current Current Ratio of 1.23 is 32% 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 Business Services industry, the median Current Ratio is 1.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Localiza Rent A Car's current Current Ratio is 1.23, which is near median its own 10-year median of 1.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Localiza Rent A Car stock overvalued right now?
Based on GuruFocus' analysis, Localiza Rent A Car (BSP:RENT4) is currently considered Modestly Undervalued. The stock's GF Value™ is R$53.66, compared to a current price of R$40.77 — trading 24% below its estimated fair value. The current Current Ratio is 1.23, which is near median its 10-year median of 1.28 and 32% below the Business Services industry median of 1.81. Localiza Rent A Car's overall GF Score™ is 71/100 with 9 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 Localiza Rent A Car (BSP:RENT4), the current Current Ratio is 1.23 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 Localiza Rent A Car (BSP:RENT4) Overvalued in 2026?
Based on GuruFocus' analysis, Localiza Rent A Car stock appears to be undervalued.
The current stock price of R$40.77 is trading 24% below its estimated GF Value™ of R$53.66.
GuruFocus considers Localiza Rent A Car to be Modestly Undervalued.
Key valuation signals for BSP:RENT4:
Current Ratio: 1.23 (near median its 10-year median of 1.28)
GF Value™: R$53.66 vs. price of R$40.77 (24% below fair value)
Industry Position: 32% below the Business Services median (#787 of 1092)
No single metric tells the full story. See the BSP:RENT4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Localiza Rent A Car SA is a car rental service provider with the majority of its operations in Brazil. Through its subsidiaries, the company rents cars to individuals, manages corporate car fleets, sells its decommissioned fleet, and operates a franchise business. The company has two reportable operating segments: Car Rental and Fleet Management. Maximum revenue is generated from the Car Rental segment, which is responsible for car rentals and for stipulating insurance and managing car claims for insurance companies. This segment is also responsible for the administration and granting of franchises and the right to use the Localiza brand in geographically defined markets. Geographically, the company operates across different regions in Latin America.
71GF Score
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