Weichai Power CoFRA:WI4 -3.71%70 Current Ratio is 1.20 as of Mar. 2026, which is 6% below its 10-year median of 1.28. GuruFocus rates FRA:WI4 with a GF Score™ of 70/100 and a GF Value™ of €2.46 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,337 Vehicles & Parts companies, Weichai Power Co ranks worse than 69.48% 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. Weichai Power Co's current ratio for the quarter that ended in Mar. 2026 was 1.20.
Weichai Power Co has a current ratio of 1.20. It generally indicates good short-term financial strength.
The historical rank and industry rank for Weichai Power Co's Current Ratio or its related term are showing as below:
FRA:WI4'
s Current Ratio Range Over the Past 10 Years
Min: 1.15 Med: 1.28 Max: 1.47
Current: 1.2
During the past 13 years, Weichai Power Co's highest Current Ratio was 1.47. The lowest was 1.15. And the median was 1.28.
FRA:WI4's Current Ratio is ranked worse than 69.48% of 1337
companies
in the Vehicles & Parts industry
Industry Median: 1.54
vs FRA:WI4: 1.20
Weichai Power Co (FRA:WI4) 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.
Weichai Power Co Current Ratio Related Terms
Weichai Power Co Current Ratio Historical Data
* Premium members only.
The historical data trend for Weichai Power Co'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 Auto Manufacturers subindustry, Weichai Power Co'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.
Weichai Power Co Current Ratio vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Weichai Power Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Weichai Power Co'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.
Weichai Power Co (FRA:WI4) has a Current Ratio of 1.20 as of Mar. 2026. This is near median its historical median of 1.28. Over the past decade, Weichai Power Co's Current Ratio has ranged from 1.15 to 1.47. According to the industry distribution chart, Weichai Power Co ranks #929 out of 1337 companies in the Vehicles & Parts industry, placing it in the top 69.5%.
Is Weichai Power Co's Current Ratio too high?
Weichai Power Co's current Current Ratio of 1.20 is near median its 10-year median of 1.28. Over the past 10 years, this metric has ranged from a low of 1.15 to a high of 1.47. The Vehicles & Parts industry median Current Ratio is 1.54. Weichai Power Co's value of 1.20 is 22.1% below this industry median. Based on the distribution chart, Weichai Power Co ranks #929 out of 1337 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Weichai Power Co has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Weichai Power Co's Current Ratio compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Weichai Power Co ranks #929 out of 1337 companies for Current Ratio. This places Weichai Power Co in the lower half of its industry. The industry median Current Ratio is 1.54. Weichai Power Co's value of 1.20 is 22.1% below this benchmark. Historically, Weichai Power Co's own Current Ratio has ranged from 1.15 to 1.47 over the past decade. While the company's 10-year median is 1.28 vs. the industry median of 1.54, Weichai Power Co 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 Vehicles & Parts company?
The median Current Ratio among Vehicles & Parts companies is 1.54, based on 1,337 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. Weichai Power Co's current Current Ratio of 1.20 is 22.1% 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 Vehicles & Parts industry, the median Current Ratio is 1.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Weichai Power Co's current Current Ratio is 1.20, 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 Weichai Power Co stock overvalued right now?
Based on GuruFocus' analysis, Weichai Power Co (FRA:WI4) is currently considered Significantly Overvalued. The stock's GF Value™ is €2.46, compared to a current price of €3.99 — trading 62.3% above its estimated fair value. The current Current Ratio is 1.20, which is near median its 10-year median of 1.28 and 22.1% below the Vehicles & Parts industry median of 1.54. Weichai Power Co's overall GF Score™ is 70/100 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 Weichai Power Co (FRA:WI4), the current Current Ratio is 1.20 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 Weichai Power Co (FRA:WI4) Overvalued in 2026?
Based on GuruFocus' analysis, Weichai Power Co stock appears to be overvalued.
The current stock price of €3.99 is trading 62.3% above its estimated GF Value™ of €2.46.
GuruFocus considers Weichai Power Co to be Significantly Overvalued.
Key valuation signals for FRA:WI4:
Current Ratio: 1.20 (near median its 10-year median of 1.28)
GF Value™: €2.46 vs. price of €3.99 (62.3% above fair value)
Industry Position: 22.1% below the Vehicles & Parts median (#929 of 1337)
No single metric tells the full story. See the FRA:WI4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Weichai Power Co Ltd is an industrial technology company that offers vehicles and equipment manufacturing, and logistics and supply chain services in China. The operating segments of the company are; Engines segment which includes the manufacturing and sale of engines and related parts; Automobiles and automobile components which includes the manufacturing and sale of automobiles and automobile components other than Engines; Agricultural equipment includes the manufacturing and sale of agricultural equipment (complete machineries), agricultural machineries, agricultural vehicles, and related parts; and the Intelligent logistics segment which includes forklift trucks production, warehousing technology, and supply chain solution services.
70GF Score
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