Vietnam Engine & Agricultural Machinery has a current ratio of 16.86. 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.
HSTC:VEA's Current Ratio is ranked better than 99.05% of 211
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 1.81
vs HSTC:VEA: 16.86
Vietnam Engine & Agricultural Machinery (HSTC:VEA) 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.
Vietnam Engine & Agricultural Machinery Current Ratio Related Terms
Vietnam Engine & Agricultural Machinery Current Ratio Historical Data
* 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.
Vietnam Engine & Agricultural Machinery Current Ratio Chart
Vietnam Engine & Agricultural Machinery Annual Data
HSTC:VEA vs CAT, DE, PCAR: Current Ratio Comparison
For the Farm & Heavy Construction Machinery subindustry, Vietnam Engine & Agricultural Machinery'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.
Vietnam Engine & Agricultural Machinery Current Ratio vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Vietnam Engine & Agricultural Machinery's Current Ratio distribution charts can be found below:
* The bar in red indicates where Vietnam Engine & Agricultural Machinery'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.
Vietnam Engine & Agricultural Machinery (HSTC:VEA) has a Current Ratio of 16.86 as of Mar. 2026. This is 10% above median its historical median of 15.28. Over the past decade, Vietnam Engine & Agricultural Machinery's Current Ratio has ranged from 2.99 to 28.11. According to the industry distribution chart, Vietnam Engine & Agricultural Machinery ranks #2 out of 211 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 0.90000000000001%.
Is Vietnam Engine & Agricultural Machinery's Current Ratio too high?
Vietnam Engine & Agricultural Machinery's current Current Ratio of 16.86 is 10% above median its 10-year median of 15.28. Over the past 10 years, this metric has ranged from a low of 2.99 to a high of 28.11. The Farm & Heavy Construction Machinery industry median Current Ratio is 1.81. Vietnam Engine & Agricultural Machinery's value of 16.86 is 831.5% above this industry median. Based on the distribution chart, Vietnam Engine & Agricultural Machinery ranks #2 out of 211 companies in the Farm & Heavy Construction Machinery industry, which is in the top quartile — a strong position relative to peers. Overall, Vietnam Engine & Agricultural Machinery has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vietnam Engine & Agricultural Machinery's Current Ratio compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Vietnam Engine & Agricultural Machinery ranks #2 out of 211 companies for Current Ratio. This places Vietnam Engine & Agricultural Machinery in the top 1% of its industry — outperforming the majority of peers. The industry median Current Ratio is 1.81. Vietnam Engine & Agricultural Machinery's value of 16.86 is 831.5% above this benchmark. Historically, Vietnam Engine & Agricultural Machinery's own Current Ratio has ranged from 2.99 to 28.11 over the past decade. While the company's 10-year median is 15.28 vs. the industry median of 1.81, Vietnam Engine & Agricultural Machinery 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 Farm & Heavy Construction Machinery company?
The median Current Ratio among Farm & Heavy Construction Machinery companies is 1.81, based on 211 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. Vietnam Engine & Agricultural Machinery's current Current Ratio of 16.86 is 831.5% 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 Farm & Heavy Construction Machinery 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. Vietnam Engine & Agricultural Machinery's current Current Ratio is 16.86, which is 10% above median its own 10-year median of 15.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vietnam Engine & Agricultural Machinery stock overvalued right now?
Based on GuruFocus' analysis, Vietnam Engine & Agricultural Machinery (HSTC:VEA) is currently considered Modestly Undervalued. The stock's GF Value™ is ₫41,950.04, compared to a current price of ₫35,100.00 — trading 16.3% below its estimated fair value. The current Current Ratio is 16.86, which is 10% above median its 10-year median of 15.28 and 831.5% above the Farm & Heavy Construction Machinery industry median of 1.81. Vietnam Engine & Agricultural Machinery's overall GF Score™ is 78/100 with 5 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 Vietnam Engine & Agricultural Machinery (HSTC:VEA), the current Current Ratio is 16.86 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 Vietnam Engine & Agricultural Machinery (HSTC:VEA) Overvalued in 2026?
Based on GuruFocus' analysis, Vietnam Engine & Agricultural Machinery stock appears to be undervalued.
The current stock price of ₫35,100.00 is trading 16.3% below its estimated GF Value™ of ₫41,950.04.
GuruFocus considers Vietnam Engine & Agricultural Machinery to be Modestly Undervalued.
Key valuation signals for HSTC:VEA:
Current Ratio: 16.86 (10% above median its 10-year median of 15.28)
GF Value™: ₫41,950.04 vs. price of ₫35,100.00 (16.3% below fair value)
Industry Position: 831.5% above the Farm & Heavy Construction Machinery median (#2 of 211)
No single metric tells the full story. See the HSTC:VEA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vietnam Engine & Agricultural Machinery Business Description
Vietnam Engine & Agricultural Machinery Corp is engaged in manufacturing and trading machinery and spare parts for agricultural, forestry, and fishery production and transportation. Its products include VEAM cars, tractors, engines, agricultural machinery, and accessories.
78GF Score
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