Hudaco IndustriesJSE:HDC +0.19%87 Current Ratio is 2.62 as of Nov. 2025, which is 4% above its 10-year median of 2.53. GuruFocus rates JSE:HDC with a GF Score™ of 87/100 and a GF Value™ of R189.38 (Fairly Valued). Among 156 Industrial Distribution companies, Hudaco Industries ranks better than 69.87% 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. Hudaco Industries's current ratio for the quarter that ended in Nov. 2025 was 2.62.
Hudaco Industries has a current ratio of 2.62. It generally indicates good short-term financial strength.
The historical rank and industry rank for Hudaco Industries's Current Ratio or its related term are showing as below:
JSE:HDC'
s Current Ratio Range Over the Past 10 Years
Min: 2.05 Med: 2.53 Max: 2.81
Current: 2.62
During the past 13 years, Hudaco Industries's highest Current Ratio was 2.81. The lowest was 2.05. And the median was 2.53.
JSE:HDC's Current Ratio is ranked better than 69.87% of 156
companies
in the Industrial Distribution industry
Industry Median: 2.01
vs JSE:HDC: 2.62
Hudaco Industries (JSE:HDC) 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.
Hudaco Industries Current Ratio Related Terms
Hudaco Industries Current Ratio Historical Data
* Premium members only.
The historical data trend for Hudaco Industries'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.
JSE:HDC vs GWW, FAST, FERG: Current Ratio Comparison
For the Industrial Distribution subindustry, Hudaco Industries'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.
Hudaco Industries Current Ratio vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Hudaco Industries's Current Ratio distribution charts can be found below:
* The bar in red indicates where Hudaco Industries'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.
Hudaco Industries (JSE:HDC) has a Current Ratio of 2.62 as of Nov. 2025. This is near median its historical median of 2.53. Over the past decade, Hudaco Industries' Current Ratio has ranged from 2.05 to 2.81. According to the industry distribution chart, Hudaco Industries ranks #47 out of 156 companies in the Industrial Distribution industry, placing it in the top 30.1%.
Is Hudaco Industries' Current Ratio too high?
Hudaco Industries' current Current Ratio of 2.62 is near median its 10-year median of 2.53. Over the past 10 years, this metric has ranged from a low of 2.05 to a high of 2.81. The Industrial Distribution industry median Current Ratio is 2.01. Hudaco Industries' value of 2.62 is 30.3% above this industry median. Based on the distribution chart, Hudaco Industries ranks #47 out of 156 companies in the Industrial Distribution industry, which is above the industry midpoint. Overall, Hudaco Industries has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hudaco Industries' Current Ratio compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Hudaco Industries ranks #47 out of 156 companies for Current Ratio. This puts Hudaco Industries in the upper half of its industry. The industry median Current Ratio is 2.01. Hudaco Industries' value of 2.62 is 30.3% above this benchmark. Historically, Hudaco Industries' own Current Ratio has ranged from 2.05 to 2.81 over the past decade. While the company's 10-year median is 2.53 vs. the industry median of 2.01, Hudaco Industries 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 an Industrial Distribution company?
The median Current Ratio among Industrial Distribution companies is 2.01, based on 156 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. Hudaco Industries's current Current Ratio of 2.62 is 30.3% 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 Industrial Distribution industry, the median Current Ratio is 2.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hudaco Industries's current Current Ratio is 2.62, which is near median its own 10-year median of 2.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hudaco Industries stock overvalued right now?
Based on GuruFocus' analysis, Hudaco Industries (JSE:HDC) is currently considered Fairly Valued. The stock's GF Value™ is R189.38, compared to a current price of R187.50 — trading 1% below its estimated fair value. The current Current Ratio is 2.62, which is near median its 10-year median of 2.53 and 30.3% above the Industrial Distribution industry median of 2.01. Hudaco Industries' overall GF Score™ is 87/100. 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 Hudaco Industries (JSE:HDC), the current Current Ratio is 2.62 as of Nov. 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 Hudaco Industries (JSE:HDC) Overvalued in 2026?
Based on GuruFocus' analysis, Hudaco Industries stock appears to be undervalued.
The current stock price of R187.50 is trading 1% below its estimated GF Value™ of R189.38.
GuruFocus considers Hudaco Industries to be Fairly Valued.
Key valuation signals for JSE:HDC:
Current Ratio: 2.62 (near median its 10-year median of 2.53)
GF Value™: R189.38 vs. price of R187.50 (1% below fair value)
Industry Position: 30.3% above the Industrial Distribution median (#47 of 156)
No single metric tells the full story. See the JSE:HDC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hudaco Industries Ltd is engaged in importing and distributing branded automotive, industrial and electrical consumable products. The company operates in two business segment such as Consumer-related product segment which includes power tools, security equipment, communication equipment, automotive and batteries, and Engineering consumables segment which consist of bearings, diesel engines and spares, and power transmission. It generates maximum revenue from Engineering consumables segment. Geographically, it derives a majority of revenue from South Africa.
87GF Score
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