Ushanti Colour ChemNSE:UCL +8.63%50 Current Ratio is 0.75 as of Mar. 2025. GuruFocus rates NSE:UCL with a GF Score™ of 50/100. Among 1,609 Chemicals companies, Ushanti Colour Chem ranks worse than 91.67% 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. Ushanti Colour Chem's current ratio for the quarter that ended in Mar. 2025 was 0.75.
Ushanti Colour Chem has a current ratio of 0.75. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Ushanti Colour Chem has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.
The historical rank and industry rank for Ushanti Colour Chem's Current Ratio or its related term are showing as below:
NSE:UCL's Current Ratio is not ranked *
in the Chemicals industry.
Industry Median: 1.89 * Ranked among companies with meaningful Current Ratio only.
Ushanti Colour Chem (NSE:UCL) 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.
Ushanti Colour Chem Current Ratio Related Terms
Ushanti Colour Chem Current Ratio Historical Data
* Premium members only.
The historical data trend for Ushanti Colour Chem'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:UCL vs LIN, SHW, ECL: Current Ratio Comparison
For the Specialty Chemicals subindustry, Ushanti Colour Chem'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.
Ushanti Colour Chem Current Ratio vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Ushanti Colour Chem's Current Ratio distribution charts can be found below:
* The bar in red indicates where Ushanti Colour Chem'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.
Ushanti Colour Chem (NSE:UCL) has a Current Ratio of 0.75 as of Mar. 2025. According to the industry distribution chart, Ushanti Colour Chem ranks #1475 out of 1609 companies in the Chemicals industry, placing it in the top 91.7%.
Is Ushanti Colour Chem's Current Ratio too high?
Ushanti Colour Chem's current Current Ratio is 0.75. The Chemicals industry median Current Ratio is 1.89. Ushanti Colour Chem's value of 0.75 is 60.3% below this industry median. Based on the distribution chart, Ushanti Colour Chem ranks #1475 out of 1609 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, Ushanti Colour Chem has a GF Score™ of 50/100, reflecting its overall financial health beyond just this single metric.
How does Ushanti Colour Chem's Current Ratio compare to LIN and SHW?
According to the Chemicals industry distribution chart, Ushanti Colour Chem ranks #1475 out of 1609 companies for Current Ratio. This places Ushanti Colour Chem in the lower half of its industry. The industry median Current Ratio is 1.89. Ushanti Colour Chem's value of 0.75 is 60.3% below this benchmark. 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 1,609 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. Ushanti Colour Chem's current Current Ratio of 0.75 is 60.3% below 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. Ushanti Colour Chem's current Current Ratio is 0.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ushanti Colour Chem stock overvalued right now?
Ushanti Colour Chem (NSE:UCL) has a current Current Ratio of 0.75. The current Current Ratio is 0.75 and 60.3% below the Chemicals industry median of 1.89. Ushanti Colour Chem's overall GF Score™ is 50/100. 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 Ushanti Colour Chem (NSE:UCL), the current Current Ratio is 0.75 as of Mar. 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.
Ushanti Colour Chem Ltd is engaged in the business of manufacturing and trading of dyestuffs. It manufactures reactive and direct dyestuffs. It also manufactures copper phthalocyamine, blue crude used for manufacturing dyestuffs. The company caters to textile, garment, cotton, leather, nylon, paper, wool, ink, wood, plastic and paint industries.
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