Renova EnergiaBSP:RNEW4 -7.87%51 Current Ratio is 0.73 as of Mar. 2026, which is 28% above its 10-year median of 0.57. GuruFocus rates BSP:RNEW4 with a GF Score™ of 51/100 and a GF Value™ of R$1.27 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 446 Utilities - Independent Power Producers companies, Renova Energia ranks worse than 79.6% 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. Renova Energia's current ratio for the quarter that ended in Mar. 2026 was 0.73.
Renova Energia has a current ratio of 0.73. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Renova Energia 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 Renova Energia's Current Ratio or its related term are showing as below:
BSP:RNEW4'
s Current Ratio Range Over the Past 10 Years
Min: 0.01 Med: 0.57 Max: 1.75
Current: 0.73
During the past 13 years, Renova Energia's highest Current Ratio was 1.75. The lowest was 0.01. And the median was 0.57.
Renova Energia (BSP:RNEW4) 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.
Renova Energia Current Ratio Related Terms
Renova Energia Current Ratio Historical Data
* Premium members only.
The historical data trend for Renova Energia'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.
Renova Energia Current Ratio Competitor Comparison
For the Utilities - Renewable subindustry, Renova Energia'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.
Renova Energia Current Ratio vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Renova Energia's Current Ratio distribution charts can be found below:
* The bar in red indicates where Renova Energia'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.
Renova Energia (BSP:RNEW4) has a Current Ratio of 0.73 as of Mar. 2026. This is 28% above median its historical median of 0.57. Over the past decade, Renova Energia's Current Ratio has ranged from 0.01 to 1.75. According to the industry distribution chart, Renova Energia ranks #355 out of 446 companies in the Utilities - Independent Power Producers industry, placing it in the top 79.6%.
Is Renova Energia's Current Ratio too high?
Renova Energia's current Current Ratio of 0.73 is 28% above median its 10-year median of 0.57. Over the past 10 years, this metric has ranged from a low of 0.01 to a high of 1.75. The Utilities - Independent Power Producers industry median Current Ratio is 1.36. Renova Energia's value of 0.73 is 46.3% below this industry median. Based on the distribution chart, Renova Energia ranks #355 out of 446 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Renova Energia has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Renova Energia's Current Ratio compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Renova Energia ranks #355 out of 446 companies for Current Ratio. This places Renova Energia in the lower half of its industry. The industry median Current Ratio is 1.36. Renova Energia's value of 0.73 is 46.3% below this benchmark. Historically, Renova Energia's own Current Ratio has ranged from 0.01 to 1.75 over the past decade. While the company's 10-year median is 0.57 vs. the industry median of 1.36, Renova Energia 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 an Utilities - Independent Power Producers company?
The median Current Ratio among Utilities - Independent Power Producers companies is 1.36, based on 446 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. Renova Energia's current Current Ratio of 0.73 is 46.3% 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 Utilities - Independent Power Producers industry, the median Current Ratio is 1.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Renova Energia's current Current Ratio is 0.73, which is 28% above median its own 10-year median of 0.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Renova Energia stock overvalued right now?
Based on GuruFocus' analysis, Renova Energia (BSP:RNEW4) is currently considered Possible Value Trap. The stock's GF Value™ is R$1.27, compared to a current price of R$0.82 — trading 35.4% below its estimated fair value. The current Current Ratio is 0.73, which is 28% above median its 10-year median of 0.57 and 46.3% below the Utilities - Independent Power Producers industry median of 1.36. Renova Energia's overall GF Score™ is 51/100 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 Renova Energia (BSP:RNEW4), the current Current Ratio is 0.73 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 Renova Energia (BSP:RNEW4) Overvalued in 2026?
Based on GuruFocus' analysis, Renova Energia stock appears to be undervalued.
The current stock price of R$0.82 is trading 35.4% below its estimated GF Value™ of R$1.27.
GuruFocus considers Renova Energia to be Possible Value Trap.
Key valuation signals for BSP:RNEW4:
Current Ratio: 0.73 (28% above median its 10-year median of 0.57)
GF Value™: R$1.27 vs. price of R$0.82 (35.4% below fair value)
Industry Position: 46.3% below the Utilities - Independent Power Producers median (#355 of 446)
No single metric tells the full story. See the BSP:RNEW4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Renova Energia SA is a Brazilian energy company engaged in the development, implementation, and operation of power generation projects from renewable sources - wind and solar, and trading of energy and related activities. The company is generating and trading electric power in all its forms, producing fuel from natural and renewable sources, providing logistics services to environmental advisory firms, and providing advisory services for energy solutions related to the generation, trading, transmission, and other businesses. The company has operating segments, namely: Wind, Solar, Trading, and Administrative. It derives maximum revenue from the Trading segment, which is engaged in energy trading in all its forms and management of the Company's energy purchase and sale contracts.
51GF Score
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