Northern Arc CapitalNSE:NORTHARC -2.31%37 Current Ratio is 52.58 as of Mar. 2026, which is 3067% above its 10-year median of 1.66. GuruFocus rates NSE:NORTHARC with a GF Score™ of 37/100. The stock has 7 warning signs investors should review. Among 394 Credit Services companies, Northern Arc Capital ranks better than 73.35% 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. Northern Arc Capital's current ratio for the quarter that ended in Mar. 2026 was 52.58.
Northern Arc Capital has a current ratio of 52.58. 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 Northern Arc Capital's Current Ratio or its related term are showing as below:
NSE:NORTHARC'
s Current Ratio Range Over the Past 10 Years
Min: 1.33 Med: 1.66 Max: 52.58
Current: 52.58
During the past 6 years, Northern Arc Capital's highest Current Ratio was 52.58. The lowest was 1.33. And the median was 1.66.
NSE:NORTHARC's Current Ratio is ranked better than 73.35% of 394
companies
in the Credit Services industry
Industry Median: 4.985
vs NSE:NORTHARC: 52.58
Northern Arc Capital (NSE:NORTHARC) 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.
Northern Arc Capital Current Ratio Related Terms
Northern Arc Capital Current Ratio Historical Data
* Premium members only.
The historical data trend for Northern Arc Capital'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.
NSE:NORTHARC vs V, MA, AXP: Current Ratio Comparison
For the Credit Services subindustry, Northern Arc Capital'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.
Northern Arc Capital Current Ratio vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Northern Arc Capital's Current Ratio distribution charts can be found below:
* The bar in red indicates where Northern Arc Capital'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.
Northern Arc Capital (NSE:NORTHARC) has a Current Ratio of 52.58 as of Mar. 2026. This is 3067% above median its historical median of 1.66. Over the past decade, Northern Arc Capital's Current Ratio has ranged from 1.33 to 52.58. According to the industry distribution chart, Northern Arc Capital ranks #105 out of 394 companies in the Credit Services industry, placing it in the top 26.6%.
Is Northern Arc Capital's Current Ratio too high?
Northern Arc Capital's current Current Ratio of 52.58 is 3067% above median its 10-year median of 1.66. Over the past 10 years, this metric has ranged from a low of 1.33 to a high of 52.58. The Credit Services industry median Current Ratio is 4.99. Northern Arc Capital's value of 52.58 is 954.8% above this industry median. Based on the distribution chart, Northern Arc Capital ranks #105 out of 394 companies in the Credit Services industry, which is above the industry midpoint. Overall, Northern Arc Capital has a GF Score™ of 37/100, reflecting its overall financial health beyond just this single metric.
How does Northern Arc Capital's Current Ratio compare to V and MA?
According to the Credit Services industry distribution chart, Northern Arc Capital ranks #105 out of 394 companies for Current Ratio. This puts Northern Arc Capital in the upper half of its industry. The industry median Current Ratio is 4.99. Northern Arc Capital's value of 52.58 is 954.8% above this benchmark. Historically, Northern Arc Capital's own Current Ratio has ranged from 1.33 to 52.58 over the past decade. While the company's 10-year median is 1.66 vs. the industry median of 4.99, Northern Arc Capital 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 Credit Services company?
The median Current Ratio among Credit Services companies is 4.99, based on 394 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. Northern Arc Capital's current Current Ratio of 52.58 is 954.8% 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 Credit Services industry, the median Current Ratio is 4.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Northern Arc Capital's current Current Ratio is 52.58, which is 3067% above median its own 10-year median of 1.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Northern Arc Capital stock overvalued right now?
Northern Arc Capital (NSE:NORTHARC) has a current Current Ratio of 52.58. The current Current Ratio is 52.58, which is 3067% above median its 10-year median of 1.66 and 954.8% above the Credit Services industry median of 4.99. Northern Arc Capital's overall GF Score™ is 37/100 with 7 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 Northern Arc Capital (NSE:NORTHARC), the current Current Ratio is 52.58 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.
Northern Arc Capital Ltd is a platform in the financial services sector set up to cater to the credit requirements of households and businesses by providing access to debt finance. It is principally engaged in portfolio management to provide liquidity and develop access to debt-capital markets for institutions, and providing loans for personal, business, education, and mortgage purposes to individuals by setting up microfinance institutions, online debt trading platforms, and alternative investment funds. The group has three reportable segments: Financing activity, which generates maximum revenue; Investment advisory services; and Investment management services. Geographically, it operates only in India.
37GF Score
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