Dongguang Chemical (HKSE:01702) Current Ratio: 4.24 (As of Dec. 2025) — 163% Above Median

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HKSE:01702 Dongguang Chemical Ltd HKSE:01702
79 GF Score
Price HK$1.44
GF Value HK$1.59
Valuation Fairly Valued
! 4 Warning Signs
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What is Dongguang Chemical Current Ratio?

Dongguang Chemical HKSE:01702 79 Current Ratio is 4.24 as of Dec. 2025, which is 163% above its 10-year median of 1.61. GuruFocus rates HKSE:01702 with a GF Score™ of 79/100 and a GF Value™ of HK$1.59 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,606 Chemicals companies, Dongguang Chemical ranks better than 82.63% 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. Dongguang Chemical's current ratio for the quarter that ended in Dec. 2025 was 4.24.

Dongguang Chemical has a current ratio of 4.24. 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 Dongguang Chemical's Current Ratio or its related term are showing as below:

HKSE:01702' s Current Ratio Range Over the Past 10 Years
Min: 0.55   Med: 1.61   Max: 5.65
Current: 4.24

During the past 12 years, Dongguang Chemical's highest Current Ratio was 5.65. The lowest was 0.55. And the median was 1.61.

HKSE:01702's Current Ratio is ranked better than
82.63% of 1606 companies
in the Chemicals industry
Industry Median: 1.89 vs HKSE:01702: 4.24

Dongguang Chemical  (HKSE:01702) 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.


Dongguang Chemical Current Ratio Related Terms


Dongguang Chemical Current Ratio Historical Data

* Premium members only.

The historical data trend for Dongguang Chemical'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.

Dongguang Chemical Current Ratio Chart

Dongguang Chemical Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Current Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.15 3.83 3.79 5.65 4.24

Dongguang Chemical Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Current Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.79 5.64 5.65 4.18 4.24

HKSE:01702 vs DOW: Current Ratio Comparison

For the Chemicals subindustry, Dongguang Chemical'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.


Dongguang Chemical Current Ratio vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Dongguang Chemical's Current Ratio distribution charts can be found below:

* The bar in red indicates where Dongguang Chemical's Current Ratio falls into.


HKSE:01702
79GF Score
Dongguang Chemical Ltd HKSE:01702
Current Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Dongguang Chemical Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Dongguang Chemical's Current Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Current Ratio (A: Dec. 2025 )=Total Current Assets (A: Dec. 2025 )/Total Current Liabilities (A: Dec. 2025 )
=1092.644/257.473
=4.24

Dongguang Chemical's Current Ratio for the quarter that ended in Dec. 2025 is calculated as

Current Ratio (Q: Dec. 2025 )=Total Current Assets (Q: Dec. 2025 )/Total Current Liabilities (Q: Dec. 2025 )
=1092.644/257.473
=4.24

* 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.

Frequently Asked Questions Learn more about Current Ratio →
What does a Current Ratio of 4.24 mean?
Dongguang Chemical (HKSE:01702) has a Current Ratio of 4.24 as of Dec. 2025. This is 163% above median its historical median of 1.61. Over the past decade, Dongguang Chemical's Current Ratio has ranged from 0.55 to 5.65. According to the industry distribution chart, Dongguang Chemical ranks #279 out of 1606 companies in the Chemicals industry, placing it in the top 17.4%.
Is Dongguang Chemical's Current Ratio too high?
Dongguang Chemical's current Current Ratio of 4.24 is 163% above median its 10-year median of 1.61. Over the past 10 years, this metric has ranged from a low of 0.55 to a high of 5.65. The Chemicals industry median Current Ratio is 1.89. Dongguang Chemical's value of 4.24 is 124.3% above this industry median. Based on the distribution chart, Dongguang Chemical ranks #279 out of 1606 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Dongguang Chemical has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dongguang Chemical's Current Ratio compare to DOW?
According to the Chemicals industry distribution chart, Dongguang Chemical ranks #279 out of 1606 companies for Current Ratio. This places Dongguang Chemical in the top 17% of its industry — outperforming the majority of peers. The industry median Current Ratio is 1.89. Dongguang Chemical's value of 4.24 is 124.3% above this benchmark. Historically, Dongguang Chemical's own Current Ratio has ranged from 0.55 to 5.65 over the past decade. While the company's 10-year median is 1.61 vs. the industry median of 1.89, Dongguang Chemical 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 Chemicals company?
The median Current Ratio among Chemicals companies is 1.89, based on 1,606 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. Dongguang Chemical's current Current Ratio of 4.24 is 124.3% 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 Chemicals industry, the median Current Ratio is 1.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dongguang Chemical's current Current Ratio is 4.24, which is 163% above median its own 10-year median of 1.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dongguang Chemical stock overvalued right now?
Based on GuruFocus' analysis, Dongguang Chemical (HKSE:01702) is currently considered Fairly Valued. The stock's GF Value™ is HK$1.59, compared to a current price of HK$1.44 — trading 9.4% below its estimated fair value. The current Current Ratio is 4.24, which is 163% above median its 10-year median of 1.61 and 124.3% above the Chemicals industry median of 1.89. Dongguang Chemical's overall GF Score™ is 79/100 with 4 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 Dongguang Chemical (HKSE:01702), the current Current Ratio is 4.24 as of Dec. 2025. 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 Dongguang Chemical (HKSE:01702) Overvalued in 2026?

Based on GuruFocus' analysis, Dongguang Chemical stock appears to be undervalued. The current stock price of HK$1.44 is trading 9.4% below its estimated GF Value™ of HK$1.59. GuruFocus considers Dongguang Chemical to be Fairly Valued.

Key valuation signals for HKSE:01702:

  • Current Ratio: 4.24 (163% above median its 10-year median of 1.61)
  • GF Value™: HK$1.59 vs. price of HK$1.44 (9.4% below fair value)
  • GF Score™: 79/100 with 4 warning signs
  • Industry Position: 124.3% above the Chemicals median (#279 of 1606)

No single metric tells the full story. See the HKSE:01702 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Dongguang Chemical Business Description

Address Chengdong Industrial Zone, Dongguang County, Hebei Province, Dongguang, CHN
Dongguang Chemical Ltd is a coal-based urea producer. It produces and sells urea. Urea is the Group's main product, and the application of urea can be broadly categorised into agricultural and industrial uses. It is widely used as a source of nitrogen in fertilisers, and it has wide industrial applications, such as the production of adhesives, coatings, plastics, and cosmetics. The Group also produces and sells by-products of urea, including vehicle urea solution, methanol, liquid carbon dioxide, liquefied natural gas, liquid ammonia, and compound fertiliser. The Group has two active production plants with production technologies located in Dongguang County of Cangzhou City, Hebei Province.
79GF Score

Get the complete analysis for HKSE:01702

Current Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$1.44
Price
HK$1.59
GF Value