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. Wuchan Zhongda Group Co's current ratio for the quarter that ended in Mar. 2026 was 1.09.
Wuchan Zhongda Group Co has a current ratio of 1.09. It generally indicates good short-term financial strength.
The historical rank and industry rank for Wuchan Zhongda Group Co's Current Ratio or its related term are showing as below:
SHSE:600704'
s Current Ratio Range Over the Past 10 Years
Min: 0.91 Med: 1.1 Max: 1.18
Current: 1.09
During the past 13 years, Wuchan Zhongda Group Co's highest Current Ratio was 1.18. The lowest was 0.91. And the median was 1.10.
SHSE:600704's Current Ratio is ranked worse than 76.99% of 565
companies
in the Conglomerates industry
Industry Median: 1.6
vs SHSE:600704: 1.09
Wuchan Zhongda Group Co (SHSE:600704) 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.
Wuchan Zhongda Group Co Current Ratio Related Terms
Wuchan Zhongda Group Co 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.
For the Conglomerates subindustry, Wuchan Zhongda Group Co'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.
Wuchan Zhongda Group Co Current Ratio vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Wuchan Zhongda Group Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Wuchan Zhongda Group Co'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.
Wuchan Zhongda Group Co (SHSE:600704) has a Current Ratio of 1.09 as of Mar. 2026. This is near median its historical median of 1.10. Over the past decade, Wuchan Zhongda Group Co's Current Ratio has ranged from 0.91 to 1.18. According to the industry distribution chart, Wuchan Zhongda Group Co ranks #435 out of 565 companies in the Conglomerates industry, placing it in the top 77%.
Is Wuchan Zhongda Group Co's Current Ratio too high?
Wuchan Zhongda Group Co's current Current Ratio of 1.09 is near median its 10-year median of 1.10. Over the past 10 years, this metric has ranged from a low of 0.91 to a high of 1.18. The Conglomerates industry median Current Ratio is 1.60. Wuchan Zhongda Group Co's value of 1.09 is 31.9% below this industry median. Based on the distribution chart, Wuchan Zhongda Group Co ranks #435 out of 565 companies in the Conglomerates industry, which is in the bottom quartile relative to peers. Overall, Wuchan Zhongda Group Co has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Wuchan Zhongda Group Co's Current Ratio compare to HON and MMM?
According to the Conglomerates industry distribution chart, Wuchan Zhongda Group Co ranks #435 out of 565 companies for Current Ratio. This places Wuchan Zhongda Group Co in the lower half of its industry. The industry median Current Ratio is 1.60. Wuchan Zhongda Group Co's value of 1.09 is 31.9% below this benchmark. Historically, Wuchan Zhongda Group Co's own Current Ratio has ranged from 0.91 to 1.18 over the past decade. While the company's 10-year median is 1.10 vs. the industry median of 1.60, Wuchan Zhongda Group Co has consistently been below 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 Conglomerates company?
The median Current Ratio among Conglomerates companies is 1.60, based on 565 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. Wuchan Zhongda Group Co's current Current Ratio of 1.09 is 31.9% 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 Conglomerates industry, the median Current Ratio is 1.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wuchan Zhongda Group Co's current Current Ratio is 1.09, which is near median its own 10-year median of 1.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wuchan Zhongda Group Co stock overvalued right now?
Based on GuruFocus' analysis, Wuchan Zhongda Group Co (SHSE:600704) is currently considered Fairly Valued. The stock's GF Value™ is ¥5.33, compared to a current price of ¥5.04 — trading 5.4% below its estimated fair value. The current Current Ratio is 1.09, which is near median its 10-year median of 1.10 and 31.9% below the Conglomerates industry median of 1.60. Wuchan Zhongda Group Co's overall GF Score™ is 72/100 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 Wuchan Zhongda Group Co (SHSE:600704), the current Current Ratio is 1.09 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 Wuchan Zhongda Group Co (SHSE:600704) Overvalued in 2026?
Based on GuruFocus' analysis, Wuchan Zhongda Group Co stock appears to be undervalued.
The current stock price of ¥5.04 is trading 5.4% below its estimated GF Value™ of ¥5.33.
GuruFocus considers Wuchan Zhongda Group Co to be Fairly Valued.
Key valuation signals for SHSE:600704:
Current Ratio: 1.09 (near median its 10-year median of 1.10)
GF Value™: ¥5.33 vs. price of ¥5.04 (5.4% below fair value)
Industry Position: 31.9% below the Conglomerates median (#435 of 565)
No single metric tells the full story. See the SHSE:600704 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Wuchan Zhongda Group Co Ltd is engaged in industrial investment, equity investment, asset management, investment management, management consulting, information consulting services. It is also engaged in car sales and leasing, e-commerce technology services, used car transactions and services.
72GF Score
Get the complete analysis for SHSE:600704
Current Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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