Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Summit Healthcare Acquisition has a current ratio of 0.46. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Summit Healthcare Acquisition 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 Summit Healthcare Acquisition's Current Ratio or its related term are showing as below:
SMIHW'
s Current Ratio Range Over the Past 10 Years
Min: 0.46 Med: 4.34 Max: 11.79
Current: 0.46
During the past 2 years, Summit Healthcare Acquisition's highest Current Ratio was 11.79. The lowest was 0.46. And the median was 4.34.
SMIHW's Current Ratio is not ranked
in the Diversified Financial Services industry.
Industry Median: 2.65
vs SMIHW: 0.46
Summit Healthcare Acquisition (NAS:SMIHW) 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.
Summit Healthcare Acquisition Current Ratio Related Terms
Summit Healthcare Acquisition 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.
SMIHW vs GEEX, RCHG, GVCI: Current Ratio Comparison
For the Shell Companies subindustry, Summit Healthcare Acquisition'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.
Summit Healthcare Acquisition Current Ratio vs Diversified Financial Services Industry
For the Diversified Financial Services industry and Financial Services sector, Summit Healthcare Acquisition's Current Ratio distribution charts can be found below:
* The bar in red indicates where Summit Healthcare Acquisition'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.
Summit Healthcare Acquisition (SMIHW) has a Current Ratio of 0.46 as of Sep. 2022. This is 89% below median its historical median of 4.34. Over the past decade, Summit Healthcare Acquisition's Current Ratio has ranged from 0.46 to 11.79.
Is Summit Healthcare Acquisition's Current Ratio too high?
Summit Healthcare Acquisition's current Current Ratio of 0.46 is 89% below median its 10-year median of 4.34. Over the past 10 years, this metric has ranged from a low of 0.46 to a high of 11.79. The Diversified Financial Services industry median Current Ratio is 2.65. Summit Healthcare Acquisition's value of 0.46 is 82.6% below this industry median. Overall, Summit Healthcare Acquisition has a GF Score™ of 24/100, reflecting its overall financial health beyond just this single metric.
How does Summit Healthcare Acquisition's Current Ratio compare to GEEX and RCHG?
Summit Healthcare Acquisition's Current Ratio of 0.46 can be compared against companies in the Diversified Financial Services industry. The industry median Current Ratio is 2.65. Summit Healthcare Acquisition's value of 0.46 is 82.6% below this benchmark. Historically, Summit Healthcare Acquisition's own Current Ratio has ranged from 0.46 to 11.79 over the past decade. While the company's 10-year median is 4.34 vs. the industry median of 2.65, Summit Healthcare Acquisition 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 Diversified Financial Services company?
The median Current Ratio among Diversified Financial Services companies is 2.65, based on 465 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. Summit Healthcare Acquisition's current Current Ratio of 0.46 is 82.6% 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 Diversified Financial Services industry, the median Current Ratio is 2.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Summit Healthcare Acquisition's current Current Ratio is 0.46, which is 89% below median its own 10-year median of 4.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Summit Healthcare Acquisition stock overvalued right now?
Summit Healthcare Acquisition (SMIHW) has a current Current Ratio of 0.46. The current Current Ratio is 0.46, which is 89% below median its 10-year median of 4.34 and 82.6% below the Diversified Financial Services industry median of 2.65. Summit Healthcare Acquisition's overall GF Score™ is 24/100 with 2 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 Summit Healthcare Acquisition (SMIHW), the current Current Ratio is 0.46 as of Sep. 2022. 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.
Address1 Lyndhurst Tower, Unit 1101, 11th Floor, Lyndhurst Terrace Central, Hong Kong, HKG
Summit Healthcare Acquisition Corp is a blank check company. It is formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses.
24GF Score
Get the complete analysis for SMIHW
Current Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SMIHW has been successfully added to your 
