Reach New Holdings (HKSE:08471) Current Ratio: 2.15 (As of Dec. 2025) — 47% Below Median

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HKSE:08471 Reach New Holdings Ltd HKSE:08471
58 GF Score
Price HK$0.27
GF Value HK$3.07
Valuation Possible Value Trap
! 6 Warning Signs
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What is Reach New Holdings Current Ratio?

Reach New Holdings HKSE:08471 58 Current Ratio is 2.15 as of Dec. 2025, which is 47% below its 10-year median of 4.03. GuruFocus rates HKSE:08471 with a GF Score™ of 58/100 and a GF Value™ of HK$3.07 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,072 Manufacturing - Apparel & Accessories companies, Reach New Holdings ranks better than 60.91% 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. Reach New Holdings's current ratio for the quarter that ended in Dec. 2025 was 2.15.

Reach New Holdings has a current ratio of 2.15. It generally indicates good short-term financial strength.

The historical rank and industry rank for Reach New Holdings's Current Ratio or its related term are showing as below:

HKSE:08471' s Current Ratio Range Over the Past 10 Years
Min: 2.11   Med: 4.03   Max: 7.54
Current: 2.15

During the past 11 years, Reach New Holdings's highest Current Ratio was 7.54. The lowest was 2.11. And the median was 4.03.

HKSE:08471's Current Ratio is ranked better than
60.91% of 1072 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 1.81 vs HKSE:08471: 2.15

Reach New Holdings  (HKSE:08471) 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.


Reach New Holdings Current Ratio Related Terms


Reach New Holdings Current Ratio Historical Data

* Premium members only.

The historical data trend for Reach New Holdings'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.

Reach New Holdings Current Ratio Chart

Reach New Holdings 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 4.13 3.92 3.43 3.20 2.15

Reach New Holdings 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 3.43 3.30 3.20 3.53 2.15

Reach New Holdings Current Ratio Competitor Comparison

For the Textile Manufacturing subindustry, Reach New Holdings'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.


Reach New Holdings Current Ratio vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Reach New Holdings's Current Ratio distribution charts can be found below:

* The bar in red indicates where Reach New Holdings's Current Ratio falls into.


HKSE:08471
58GF Score
Reach New Holdings Ltd HKSE:08471
Current Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Reach New Holdings 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.

Reach New Holdings'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 )
=54.359/25.339
=2.15

Reach New Holdings'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 )
=54.359/25.339
=2.15

* 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 2.15 mean?
Reach New Holdings (HKSE:08471) has a Current Ratio of 2.15 as of Dec. 2025. This is 47% below median its historical median of 4.03. Over the past decade, Reach New Holdings' Current Ratio has ranged from 2.11 to 7.54. According to the industry distribution chart, Reach New Holdings ranks #419 out of 1072 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 39.1%.
Is Reach New Holdings' Current Ratio too high?
Reach New Holdings' current Current Ratio of 2.15 is 47% below median its 10-year median of 4.03. Over the past 10 years, this metric has ranged from a low of 2.11 to a high of 7.54. The Manufacturing - Apparel & Accessories industry median Current Ratio is 1.81. Reach New Holdings' value of 2.15 is 18.8% above this industry median. Based on the distribution chart, Reach New Holdings ranks #419 out of 1072 companies in the Manufacturing - Apparel & Accessories industry, which is above the industry midpoint. Overall, Reach New Holdings has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Reach New Holdings' Current Ratio compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Reach New Holdings ranks #419 out of 1072 companies for Current Ratio. This puts Reach New Holdings in the upper half of its industry. The industry median Current Ratio is 1.81. Reach New Holdings' value of 2.15 is 18.8% above this benchmark. Historically, Reach New Holdings' own Current Ratio has ranged from 2.11 to 7.54 over the past decade. While the company's 10-year median is 4.03 vs. the industry median of 1.81, Reach New Holdings 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 Manufacturing - Apparel & Accessories company?
The median Current Ratio among Manufacturing - Apparel & Accessories companies is 1.81, based on 1,072 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. Reach New Holdings's current Current Ratio of 2.15 is 18.8% 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 Manufacturing - Apparel & Accessories 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. Reach New Holdings's current Current Ratio is 2.15, which is 47% below median its own 10-year median of 4.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reach New Holdings stock overvalued right now?
Based on GuruFocus' analysis, Reach New Holdings (HKSE:08471) is currently considered Possible Value Trap. The stock's GF Value™ is HK$3.07, compared to a current price of HK$0.27 — trading 91.2% below its estimated fair value. The current Current Ratio is 2.15, which is 47% below median its 10-year median of 4.03 and 18.8% above the Manufacturing - Apparel & Accessories industry median of 1.81. Reach New Holdings' overall GF Score™ is 58/100 with 6 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 Reach New Holdings (HKSE:08471), the current Current Ratio is 2.15 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 Reach New Holdings (HKSE:08471) Overvalued in 2026?

Based on GuruFocus' analysis, Reach New Holdings stock appears to be undervalued. The current stock price of HK$0.27 is trading 91.2% below its estimated GF Value™ of HK$3.07. GuruFocus considers Reach New Holdings to be Possible Value Trap.

Key valuation signals for HKSE:08471:

  • Current Ratio: 2.15 (47% below median its 10-year median of 4.03)
  • GF Value™: HK$3.07 vs. price of HK$0.27 (91.2% below fair value)
  • GF Score™: 58/100 with 6 warning signs
  • Industry Position: 18.8% above the Manufacturing - Apparel & Accessories median (#419 of 1072)

No single metric tells the full story. See the HKSE:08471 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Reach New Holdings Business Description

Address 1 Science Museum Road, Room 2502, 25th Floor, South Tower, Concordia Plaza, Tsim Sha Tsui East, Kowloon, Hong Kong, HKG
Reach New Holdings Ltd is a labelling solution provider and a one-stop garment accessories manufacturer and supplier based in China. The company is mainly engaged in the production of three types of products, which are Printed products such as hangtags, price tags, and stickers; Woven labels such as woven brand labels, woven size labels, and badges; and Printed labels such as printed brand labels, printed size labels, and care content labels. The group's operations are located in the PRC.
58GF Score

Get the complete analysis for HKSE:08471

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

HK$0.27
Price
HK$3.07
GF Value