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. Shiseido Co's current ratio for the quarter that ended in Dec. 2023 was 1.28.
Shiseido Co has a current ratio of 1.28. It generally indicates good short-term financial strength.
The historical rank and industry rank for Shiseido Co's Current Ratio or its related term are showing as below:
TSE:4911'
s Current Ratio Range Over the Past 10 Years
Min: 1.15 Med: 1.39 Max: 1.81
Current: 1.28
During the past 13 years, Shiseido Co's highest Current Ratio was 1.81. The lowest was 1.15. And the median was 1.39.
TSE:4911's Current Ratio is ranked worse than 65.06% of 1909
companies
in the Consumer Packaged Goods industry
Industry Median: 1.66
vs TSE:4911: 1.28
Shiseido Co Current Ratio Historical Data
The historical data trend for Shiseido 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.
Competitive Comparison of Shiseido Co's Current Ratio
For the Household & Personal Products subindustry, Shiseido 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.
Shiseido Co's Current Ratio Distribution in the Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Shiseido Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Shiseido Co's Current Ratio falls into.
Shiseido Co Current Ratio Calculation
The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.
Shiseido Co's Current Ratio for the fiscal year that ended in Dec. 2023 is calculated as
* 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.
Shiseido Co (TSE:4911) 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.
Shiseido Co Current Ratio Related Terms
Thank you for viewing the detailed overview of Shiseido Co's Current Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Shiseido is a leading Japanese cosmetics manufacturer. Founded in 1872, the first Western-style pharmacy in Ginza, Tokyo, it is one of the oldest cosmetics companies globally. Shiseido's suite of 31 brands, including its namesake brand and luxury Clé de Peau Beauté, has an 9.3% share of Japan's beauty and personal care market and 18.3% share of Japan's premium segment according to Euromonitor. It is also ranked No. 3 after Estée Lauder and L'Oréal, with 7.6% market share in the global premium skincare space, thanks to a strong presence in China. China, Japan, and western markets each account for about 25% of sales, followed by 15% of travel retail, and 6% in Asia. Its distribution channels include department stores, drugstores, specialty retailers, travel retailers, and e-commerce.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
TSE:4911 has been successfully added to your 