Nikko CoTSE:6306 -0.11%87 Current Ratio is 1.89 as of Mar. 2026, which is 15% below its 10-year median of 2.23. GuruFocus rates TSE:6306 with a GF Score™ of 87/100 and a GF Value™ of 円830.67 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 210 Farm & Heavy Construction Machinery companies, Nikko Co ranks better than 54.29% 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. Nikko Co's current ratio for the quarter that ended in Mar. 2026 was 1.89.
Nikko Co has a current ratio of 1.89. It generally indicates good short-term financial strength.
The historical rank and industry rank for Nikko Co's Current Ratio or its related term are showing as below:
TSE:6306'
s Current Ratio Range Over the Past 10 Years
Min: 1.87 Med: 2.23 Max: 2.73
Current: 1.89
During the past 13 years, Nikko Co's highest Current Ratio was 2.73. The lowest was 1.87. And the median was 2.23.
TSE:6306's Current Ratio is ranked better than 54.29% of 210
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 1.815
vs TSE:6306: 1.89
Nikko Co (TSE:6306) 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.
Nikko Co Current Ratio Related Terms
Nikko Co Current Ratio Historical Data
* Premium members only.
The historical data trend for Nikko 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.
TSE:6306 vs CAT, DE, PCAR: Current Ratio Comparison
For the Farm & Heavy Construction Machinery subindustry, Nikko 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.
Nikko Co Current Ratio vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Nikko Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Nikko 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.
Nikko Co (TSE:6306) has a Current Ratio of 1.89 as of Mar. 2026. This is 15% below median its historical median of 2.23. Over the past decade, Nikko Co's Current Ratio has ranged from 1.87 to 2.73. According to the industry distribution chart, Nikko Co ranks #96 out of 210 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 45.7%.
Is Nikko Co's Current Ratio too high?
Nikko Co's current Current Ratio of 1.89 is 15% below median its 10-year median of 2.23. Over the past 10 years, this metric has ranged from a low of 1.87 to a high of 2.73. The Farm & Heavy Construction Machinery industry median Current Ratio is 1.82. Nikko Co's value of 1.89 is 4.1% above this industry median. Based on the distribution chart, Nikko Co ranks #96 out of 210 companies in the Farm & Heavy Construction Machinery industry, which is above the industry midpoint. Overall, Nikko Co has a GF Score™ of 87/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nikko Co's Current Ratio compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Nikko Co ranks #96 out of 210 companies for Current Ratio. This puts Nikko Co in the upper half of its industry. The industry median Current Ratio is 1.82. Nikko Co's value of 1.89 is 4.1% above this benchmark. Historically, Nikko Co's own Current Ratio has ranged from 1.87 to 2.73 over the past decade. While the company's 10-year median is 2.23 vs. the industry median of 1.82, Nikko 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 Farm & Heavy Construction Machinery company?
The median Current Ratio among Farm & Heavy Construction Machinery companies is 1.82, based on 210 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. Nikko Co's current Current Ratio of 1.89 is 4.1% 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 Farm & Heavy Construction Machinery industry, the median Current Ratio is 1.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nikko Co's current Current Ratio is 1.89, which is 15% below median its own 10-year median of 2.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nikko Co stock overvalued right now?
Based on GuruFocus' analysis, Nikko Co (TSE:6306) is currently considered Modestly Overvalued. The stock's GF Value™ is 円830.67, compared to a current price of 円951.00 — trading 14.5% above its estimated fair value. The current Current Ratio is 1.89, which is 15% below median its 10-year median of 2.23 and 4.1% above the Farm & Heavy Construction Machinery industry median of 1.82. Nikko Co's overall GF Score™ is 87/100 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 Nikko Co (TSE:6306), the current Current Ratio is 1.89 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 Nikko Co (TSE:6306) Overvalued in 2026?
Based on GuruFocus' analysis, Nikko Co stock appears to be overvalued.
The current stock price of 円951.00 is trading 14.5% above its estimated GF Value™ of 円830.67.
GuruFocus considers Nikko Co to be Modestly Overvalued.
Key valuation signals for TSE:6306:
Current Ratio: 1.89 (15% below median its 10-year median of 2.23)
GF Value™: 円830.67 vs. price of 円951.00 (14.5% above fair value)
Industry Position: 4.1% above the Farm & Heavy Construction Machinery median (#96 of 210)
No single metric tells the full story. See the TSE:6306 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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