ChallengerASX:CGF -0.30%59 Quick Ratio is 3.09 as of Dec. 2025, which is 49% above its 10-year median of 2.08. GuruFocus rates ASX:CGF with a GF Score™ of 59/100 and a GF Value™ of A$4.11 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 65 Insurance companies, Challenger ranks better than 80% on this metric.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Challenger's quick ratio for the quarter that ended in Dec. 2025 was 3.09.
Challenger has a quick ratio of 3.09. It generally indicates good short-term financial strength.
The historical rank and industry rank for Challenger's Quick Ratio or its related term are showing as below:
ASX:CGF'
s Quick Ratio Range Over the Past 10 Years
Min: 0.15 Med: 2.08 Max: 5.54
Current: 3.09
During the past 13 years, Challenger's highest Quick Ratio was 5.54. The lowest was 0.15. And the median was 2.08.
ASX:CGF's Quick Ratio is ranked better than 80% of 65
companies
in the Insurance industry
Industry Median: 1.67
vs ASX:CGF: 3.09
Challenger (ASX:CGF) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Challenger Quick Ratio Related Terms
Challenger Quick Ratio Historical Data
* Premium members only.
The historical data trend for Challenger's Quick 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 Insurance - Life subindustry, Challenger's Quick Ratio, along with its competitors' market caps and Quick 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.
Challenger Quick Ratio vs Insurance Industry
For the Insurance industry and Financial Services sector, Challenger's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Challenger's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Challenger's Quick Ratio for the fiscal year that ended in Jun. 2025 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.
Challenger (ASX:CGF) has a Quick Ratio of 3.09 as of Dec. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Challenger and its competitors. This is 49% above median its historical median of 2.08. Over the past decade, Challenger's Quick Ratio has ranged from 0.15 to 5.54. According to the industry distribution chart, Challenger ranks #13 out of 65 companies in the Insurance industry, placing it in the top 20%.
Is Challenger's Quick Ratio too high?
Challenger's current Quick Ratio of 3.09 is 49% above median its 10-year median of 2.08. Over the past 10 years, this metric has ranged from a low of 0.15 to a high of 5.54. The Insurance industry median Quick Ratio is 1.67. Challenger's value of 3.09 is 85% above this industry median. Based on the distribution chart, Challenger ranks #13 out of 65 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Challenger has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Challenger's Quick Ratio compare to AFL and MET?
According to the Insurance industry distribution chart, Challenger ranks #13 out of 65 companies for Quick Ratio. This places Challenger in the top 20% of its industry — outperforming the majority of peers. The industry median Quick Ratio is 1.67. Challenger's value of 3.09 is 85% above this benchmark. Historically, Challenger's own Quick Ratio has ranged from 0.15 to 5.54 over the past decade. While the company's 10-year median is 2.08 vs. the industry median of 1.67, Challenger 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 Quick Ratio for an Insurance company?
The median Quick Ratio among Insurance companies is 1.67, based on 65 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Challenger's current Quick Ratio of 3.09 is 85% 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Challenger and its competitors. For the Insurance industry, the median Quick Ratio is 1.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Challenger's current Quick Ratio is 3.09, which is 49% above median its own 10-year median of 2.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Challenger stock overvalued right now?
Based on GuruFocus' analysis, Challenger (ASX:CGF) is currently considered Significantly Overvalued. The stock's GF Value™ is A$4.11, compared to a current price of A$9.82 — trading 138.9% above its estimated fair value. The current Quick Ratio is 3.09, which is 49% above median its 10-year median of 2.08 and 85% above the Insurance industry median of 1.67. Challenger's overall GF Score™ is 59/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Challenger (ASX:CGF), the current Quick Ratio is 3.09 as of Dec. 2025. 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 Challenger (ASX:CGF) Overvalued in 2026?
Based on GuruFocus' analysis, Challenger stock appears to be overvalued.
The current stock price of A$9.82 is trading 138.9% above its estimated GF Value™ of A$4.11.
GuruFocus considers Challenger to be Significantly Overvalued.
Key valuation signals for ASX:CGF:
Quick Ratio: 3.09 (49% above median its 10-year median of 2.08)
GF Value™: A$4.11 vs. price of A$9.82 (138.9% above fair value)
Industry Position: 85% above the Insurance median (#13 of 65)
No single metric tells the full story. See the ASX:CGF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Challenger's core business is selling annuity products in the Australian retirement market and, since November 2016, selling Australian dollar-denominated annuities into Japan's large retirement market. The firm's annuity products provide investors guaranteed regular payments over an agreed term for an upfront lump sum investment and is designed primarily to protect investors from the longevity risk of outliving their savings. Challenger also operates a funds management business, Fidante Partners, which has minority stakes in several boutique global investment managers, and Challenger Investment Management, which primarily manages investments supporting its annuities business.
59GF Score
Get the complete analysis for ASX:CGF
Quick Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:CGF has been successfully added to your 
