VirnetX HoldingVHC -2.92%50 Current Ratio is 8.53 as of Mar. 2026, which is 23% above its 10-year median of 6.96. GuruFocus rates VHC with a GF Score™ of 50/100 and a GF Value™ of $86.23 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 2,865 Software companies, VirnetX Holding ranks better than 94.17% 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. VirnetX Holding's current ratio for the quarter that ended in Mar. 2026 was 8.53.
VirnetX Holding has a current ratio of 8.53. 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 VirnetX Holding's Current Ratio or its related term are showing as below:
VHC'
s Current Ratio Range Over the Past 10 Years
Min: 1.16 Med: 6.96 Max: 308.31
Current: 8.53
During the past 13 years, VirnetX Holding's highest Current Ratio was 308.31. The lowest was 1.16. And the median was 6.96.
VHC's Current Ratio is ranked better than 94.17% of 2865
companies
in the Software industry
Industry Median: 1.82
vs VHC: 8.53
VirnetX Holding (NAS:VHC) 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.
VirnetX Holding Current Ratio Related Terms
VirnetX Holding Current Ratio Historical Data
* Premium members only.
The historical data trend for VirnetX Holding'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 Software - Infrastructure subindustry, VirnetX Holding'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.
VirnetX Holding Current Ratio vs Software Industry
For the Software industry and Technology sector, VirnetX Holding's Current Ratio distribution charts can be found below:
* The bar in red indicates where VirnetX Holding'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.
VirnetX Holding (VHC) has a Current Ratio of 8.53 as of Mar. 2026. This is 23% above median its historical median of 6.96. Over the past decade, VirnetX Holding's Current Ratio has ranged from 1.16 to 308.31. According to the industry distribution chart, VirnetX Holding ranks #167 out of 2865 companies in the Software industry, placing it in the top 5.8%.
Is VirnetX Holding's Current Ratio too high?
VirnetX Holding's current Current Ratio of 8.53 is 23% above median its 10-year median of 6.96. Over the past 10 years, this metric has ranged from a low of 1.16 to a high of 308.31. The Software industry median Current Ratio is 1.82. VirnetX Holding's value of 8.53 is 368.7% above this industry median. Based on the distribution chart, VirnetX Holding ranks #167 out of 2865 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, VirnetX Holding has a GF Score™ of 50/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does VirnetX Holding's Current Ratio compare to AGPU and SKYA?
According to the Software industry distribution chart, VirnetX Holding ranks #167 out of 2865 companies for Current Ratio. This places VirnetX Holding in the top 6% of its industry — outperforming the majority of peers. The industry median Current Ratio is 1.82. VirnetX Holding's value of 8.53 is 368.7% above this benchmark. Historically, VirnetX Holding's own Current Ratio has ranged from 1.16 to 308.31 over the past decade. While the company's 10-year median is 6.96 vs. the industry median of 1.82, VirnetX Holding 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 Software company?
The median Current Ratio among Software companies is 1.82, based on 2,865 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. VirnetX Holding's current Current Ratio of 8.53 is 368.7% 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 Software 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. VirnetX Holding's current Current Ratio is 8.53, which is 23% above median its own 10-year median of 6.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is VirnetX Holding stock overvalued right now?
Based on GuruFocus' analysis, VirnetX Holding (VHC) is currently considered Possible Value Trap. The stock's GF Value™ is $86.23, compared to a current price of $11.98 — trading 86.1% below its estimated fair value. The current Current Ratio is 8.53, which is 23% above median its 10-year median of 6.96 and 368.7% above the Software industry median of 1.82. VirnetX Holding's overall GF Score™ is 50/100 with 5 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 VirnetX Holding (VHC), the current Current Ratio is 8.53 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 VirnetX Holding (VHC) Overvalued in 2026?
Based on GuruFocus' analysis, VirnetX Holding stock appears to be undervalued.
The current stock price of $11.98 is trading 86.1% below its estimated GF Value™ of $86.23.
GuruFocus considers VirnetX Holding to be Possible Value Trap.
Key valuation signals for VHC:
Current Ratio: 8.53 (23% above median its 10-year median of 6.96)
GF Value™: $86.23 vs. price of $11.98 (86.1% below fair value)
Industry Position: 368.7% above the Software median (#167 of 2865)
No single metric tells the full story. See the VHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
VirnetX Holding Corp is engaged in the business of commercializing a portfolio of patents. It is an Internet security software and technology company with patented technology for secure communications. Its software and technology solutions, including its Secure Domain Name Registry and Technology, VirnetX One, War Room, VirnetX Matrix, and GABRIEL Connection Technology, are designed to be device and location-independent, and enable a secure real-time communication environment for all types of enterprise applications, services and critical infrastructures.
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