TSE:4720's Current Ratio is ranked worse than 55.94% of 261
companies
in the Education industry
Industry Median: 1.5
vs TSE:4720: 1.30
Johnan Academic Preparatory Institute (TSE:4720) 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.
Johnan Academic Preparatory Institute Current Ratio Related Terms
Johnan Academic Preparatory Institute 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.
Johnan Academic Preparatory Institute Current Ratio Chart
TSE:4720 vs EDU, TAL, LAUR: Current Ratio Comparison
For the Education & Training Services subindustry, Johnan Academic Preparatory Institute'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.
Johnan Academic Preparatory Institute Current Ratio vs Education Industry
For the Education industry and Consumer Defensive sector, Johnan Academic Preparatory Institute's Current Ratio distribution charts can be found below:
* The bar in red indicates where Johnan Academic Preparatory Institute'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.
Johnan Academic Preparatory Institute (TSE:4720) has a Current Ratio of 1.30 as of Mar. 2026. This is near median its historical median of 1.33. Over the past decade, Johnan Academic Preparatory Institute's Current Ratio has ranged from 0.86 to 1.90. According to the industry distribution chart, Johnan Academic Preparatory Institute ranks #146 out of 261 companies in the Education industry, placing it in the top 55.9%.
Is Johnan Academic Preparatory Institute's Current Ratio too high?
Johnan Academic Preparatory Institute's current Current Ratio of 1.30 is near median its 10-year median of 1.33. Over the past 10 years, this metric has ranged from a low of 0.86 to a high of 1.90. The Education industry median Current Ratio is 1.50. Johnan Academic Preparatory Institute's value of 1.30 is 13.3% below this industry median. Based on the distribution chart, Johnan Academic Preparatory Institute ranks #146 out of 261 companies in the Education industry, which is below the industry midpoint. Overall, Johnan Academic Preparatory Institute has a GF Score™ of 44/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Johnan Academic Preparatory Institute's Current Ratio compare to EDU and TAL?
According to the Education industry distribution chart, Johnan Academic Preparatory Institute ranks #146 out of 261 companies for Current Ratio. This places Johnan Academic Preparatory Institute in the lower half of its industry. The industry median Current Ratio is 1.50. Johnan Academic Preparatory Institute's value of 1.30 is 13.3% below this benchmark. Historically, Johnan Academic Preparatory Institute's own Current Ratio has ranged from 0.86 to 1.90 over the past decade. While the company's 10-year median is 1.33 vs. the industry median of 1.50, Johnan Academic Preparatory Institute 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 an Education company?
The median Current Ratio among Education companies is 1.50, based on 261 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. Johnan Academic Preparatory Institute's current Current Ratio of 1.30 is 13.3% 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 Education industry, the median Current Ratio is 1.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Johnan Academic Preparatory Institute's current Current Ratio is 1.30, which is near median its own 10-year median of 1.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Johnan Academic Preparatory Institute stock overvalued right now?
Based on GuruFocus' analysis, Johnan Academic Preparatory Institute (TSE:4720) is currently considered Modestly Undervalued. The stock's GF Value™ is 円282.43, compared to a current price of 円236.00 — trading 16.4% below its estimated fair value. The current Current Ratio is 1.30, which is near median its 10-year median of 1.33 and 13.3% below the Education industry median of 1.50. Johnan Academic Preparatory Institute's overall GF Score™ is 44/100 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 Johnan Academic Preparatory Institute (TSE:4720), the current Current Ratio is 1.30 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 Johnan Academic Preparatory Institute (TSE:4720) Overvalued in 2026?
Based on GuruFocus' analysis, Johnan Academic Preparatory Institute stock appears to be undervalued.
The current stock price of 円236.00 is trading 16.4% below its estimated GF Value™ of 円282.43.
GuruFocus considers Johnan Academic Preparatory Institute to be Modestly Undervalued.
Key valuation signals for TSE:4720:
Current Ratio: 1.30 (near median its 10-year median of 1.33)
GF Value™: 円282.43 vs. price of 円236.00 (16.4% below fair value)
Industry Position: 13.3% below the Education median (#146 of 261)
No single metric tells the full story. See the TSE:4720 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Johnan Academic Preparatory Institute Business Description
Johnan Academic Preparatory Institute Inc is a Japan-based company that engages in the education business. It provides learning materials support and electronic learning services for elementary and junior high school students.
44GF Score
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