Cluster Technology CoTSE:4240 -0.63%78 Current Ratio is 5.61 as of Mar. 2026, which is 29% below its 10-year median of 7.89. GuruFocus rates TSE:4240 with a GF Score™ of 78/100 and a GF Value™ of 円427.25 (Modestly Undervalued). Among 2,495 Hardware companies, Cluster Technology Co ranks better than 88.58% 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. Cluster Technology Co's current ratio for the quarter that ended in Mar. 2026 was 5.61.
Cluster Technology Co has a current ratio of 5.61. 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 Cluster Technology Co's Current Ratio or its related term are showing as below:
TSE:4240'
s Current Ratio Range Over the Past 10 Years
Min: 5.61 Med: 7.89 Max: 11.75
Current: 5.61
During the past 13 years, Cluster Technology Co's highest Current Ratio was 11.75. The lowest was 5.61. And the median was 7.89.
TSE:4240's Current Ratio is ranked better than 88.58% of 2495
companies
in the Hardware industry
Industry Median: 1.96
vs TSE:4240: 5.61
Cluster Technology Co (TSE:4240) 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.
Cluster Technology Co Current Ratio Related Terms
Cluster Technology Co Current Ratio Historical Data
* Premium members only.
The historical data trend for Cluster Technology Co'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.
For the Electronic Components subindustry, Cluster Technology 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.
Cluster Technology Co Current Ratio vs Hardware Industry
For the Hardware industry and Technology sector, Cluster Technology Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Cluster Technology 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.
Cluster Technology Co (TSE:4240) has a Current Ratio of 5.61 as of Mar. 2026. This is 29% below median its historical median of 7.89. Over the past decade, Cluster Technology Co's Current Ratio has ranged from 5.61 to 11.75. According to the industry distribution chart, Cluster Technology Co ranks #285 out of 2495 companies in the Hardware industry, placing it in the top 11.4%.
Is Cluster Technology Co's Current Ratio too high?
Cluster Technology Co's current Current Ratio of 5.61 is 29% below median its 10-year median of 7.89. Over the past 10 years, this metric has ranged from a low of 5.61 to a high of 11.75. The Hardware industry median Current Ratio is 1.96. Cluster Technology Co's value of 5.61 is 186.2% above this industry median. Based on the distribution chart, Cluster Technology Co ranks #285 out of 2495 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Cluster Technology Co has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cluster Technology Co's Current Ratio compare to APH and GLW?
According to the Hardware industry distribution chart, Cluster Technology Co ranks #285 out of 2495 companies for Current Ratio. This places Cluster Technology Co in the top 11% of its industry — outperforming the majority of peers. The industry median Current Ratio is 1.96. Cluster Technology Co's value of 5.61 is 186.2% above this benchmark. Historically, Cluster Technology Co's own Current Ratio has ranged from 5.61 to 11.75 over the past decade. While the company's 10-year median is 7.89 vs. the industry median of 1.96, Cluster Technology Co 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 Hardware company?
The median Current Ratio among Hardware companies is 1.96, based on 2,495 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. Cluster Technology Co's current Current Ratio of 5.61 is 186.2% 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 Hardware industry, the median Current Ratio is 1.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cluster Technology Co's current Current Ratio is 5.61, which is 29% below median its own 10-year median of 7.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cluster Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Cluster Technology Co (TSE:4240) is currently considered Modestly Undervalued. The stock's GF Value™ is 円427.25, compared to a current price of 円316.00 — trading 26% below its estimated fair value. The current Current Ratio is 5.61, which is 29% below median its 10-year median of 7.89 and 186.2% above the Hardware industry median of 1.96. Cluster Technology Co's overall GF Score™ is 78/100. 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 Cluster Technology Co (TSE:4240), the current Current Ratio is 5.61 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 Cluster Technology Co (TSE:4240) Overvalued in 2026?
Based on GuruFocus' analysis, Cluster Technology Co stock appears to be undervalued.
The current stock price of 円316.00 is trading 26% below its estimated GF Value™ of 円427.25.
GuruFocus considers Cluster Technology Co to be Modestly Undervalued.
Key valuation signals for TSE:4240:
Current Ratio: 5.61 (29% below median its 10-year median of 7.89)
GF Value™: 円427.25 vs. price of 円316.00 (26% below fair value)
Industry Position: 186.2% above the Hardware median (#285 of 2495)
No single metric tells the full story. See the TSE:4240 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cluster Technology Co Ltd develops and manufactures composite materials and Nano-micromachining including metal mold making. It also manufactures and sale molding dies, plastic molding materials. Its nanotechnology/microtechnology business products include sensor holders for autofocus of digital single lens reflex cameras, peripheral parts of image sensors, base parts of inkjet heads.
78GF Score
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