WAVE Life SciencesFRA:1U5 +1.26%59 Current Ratio is 11.26 as of Mar. 2026, which is 360% above its 10-year median of 2.45. GuruFocus rates FRA:1U5 with a GF Score™ of 59/100 and a GF Value™ of €3.40 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,411 Biotechnology companies, WAVE Life Sciences ranks better than 80.79% 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. WAVE Life Sciences's current ratio for the quarter that ended in Mar. 2026 was 11.26.
WAVE Life Sciences has a current ratio of 11.26. 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 WAVE Life Sciences's Current Ratio or its related term are showing as below:
FRA:1U5'
s Current Ratio Range Over the Past 10 Years
Min: 0.99 Med: 2.45 Max: 21.27
Current: 11.26
During the past 13 years, WAVE Life Sciences's highest Current Ratio was 21.27. The lowest was 0.99. And the median was 2.45.
FRA:1U5's Current Ratio is ranked better than 80.79% of 1411
companies
in the Biotechnology industry
Industry Median: 3.91
vs FRA:1U5: 11.26
WAVE Life Sciences (FRA:1U5) 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.
WAVE Life Sciences Current Ratio Related Terms
WAVE Life Sciences Current Ratio Historical Data
* Premium members only.
The historical data trend for WAVE Life Sciences'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.
FRA:1U5 vs CGEM, LXRX, XNCR: Current Ratio Comparison
For the Biotechnology subindustry, WAVE Life Sciences'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.
WAVE Life Sciences Current Ratio vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, WAVE Life Sciences's Current Ratio distribution charts can be found below:
* The bar in red indicates where WAVE Life Sciences'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.
WAVE Life Sciences (FRA:1U5) has a Current Ratio of 11.26 as of Mar. 2026. This is 360% above median its historical median of 2.45. Over the past decade, WAVE Life Sciences' Current Ratio has ranged from 0.99 to 21.27. According to the industry distribution chart, WAVE Life Sciences ranks #271 out of 1411 companies in the Biotechnology industry, placing it in the top 19.2%.
Is WAVE Life Sciences' Current Ratio too high?
WAVE Life Sciences' current Current Ratio of 11.26 is 360% above median its 10-year median of 2.45. Over the past 10 years, this metric has ranged from a low of 0.99 to a high of 21.27. The Biotechnology industry median Current Ratio is 3.91. WAVE Life Sciences' value of 11.26 is 188% above this industry median. Based on the distribution chart, WAVE Life Sciences ranks #271 out of 1411 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, WAVE Life Sciences has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does WAVE Life Sciences' Current Ratio compare to CGEM and LXRX?
According to the Biotechnology industry distribution chart, WAVE Life Sciences ranks #271 out of 1411 companies for Current Ratio. This places WAVE Life Sciences in the top 19% of its industry — outperforming the majority of peers. The industry median Current Ratio is 3.91. WAVE Life Sciences' value of 11.26 is 188% above this benchmark. Historically, WAVE Life Sciences' own Current Ratio has ranged from 0.99 to 21.27 over the past decade. While the company's 10-year median is 2.45 vs. the industry median of 3.91, WAVE Life Sciences 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 Biotechnology company?
The median Current Ratio among Biotechnology companies is 3.91, based on 1,411 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. WAVE Life Sciences's current Current Ratio of 11.26 is 188% 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 Biotechnology industry, the median Current Ratio is 3.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. WAVE Life Sciences's current Current Ratio is 11.26, which is 360% above median its own 10-year median of 2.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WAVE Life Sciences stock overvalued right now?
Based on GuruFocus' analysis, WAVE Life Sciences (FRA:1U5) is currently considered Significantly Overvalued. The stock's GF Value™ is €3.40, compared to a current price of €4.82 — trading 41.8% above its estimated fair value. The current Current Ratio is 11.26, which is 360% above median its 10-year median of 2.45 and 188% above the Biotechnology industry median of 3.91. WAVE Life Sciences' overall GF Score™ is 59/100 with 2 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 WAVE Life Sciences (FRA:1U5), the current Current Ratio is 11.26 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 WAVE Life Sciences (FRA:1U5) Overvalued in 2026?
Based on GuruFocus' analysis, WAVE Life Sciences stock appears to be overvalued.
The current stock price of €4.82 is trading 41.8% above its estimated GF Value™ of €3.40.
GuruFocus considers WAVE Life Sciences to be Significantly Overvalued.
Key valuation signals for FRA:1U5:
Current Ratio: 11.26 (360% above median its 10-year median of 2.45)
GF Value™: €3.40 vs. price of €4.82 (41.8% above fair value)
Industry Position: 188% above the Biotechnology median (#271 of 1411)
No single metric tells the full story. See the FRA:1U5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
WAVE Life Sciences Ltd is a clinical-stage biotechnology company focused on unlocking the broad potential of RNA medicines also known as oligonucleotides, targeting ribonucleic acid (RNA), to transform human health. RNA medicines platform, PRISM, combines multiple modalities, chemistry innovation, and deep insights into human genetics to deliver scientific breakthroughs that treat both rare and prevalent disorders. Its toolkit of RNA-targeting modalities includes RNA editing, antisense silencing, and RNA interference, providing capabilities for designing and sustainably delivering candidates that optimally address disease biology. Its programs are for rare and prevalent diseases, including alpha-1 antitrypsin deficiency, obesity, Duchenne muscular dystrophy, and Huntington's disease.
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