Octaware Technologies (BOM:540416) Quick Ratio: 1.33 (As of Mar. 2026) — 41% Below Median


BOM:540416 Octaware Technologies Ltd BOM:540416
52 GF Score
Price ₹63.60
GF Value ₹47.61
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Octaware Technologies Quick Ratio?

Octaware Technologies BOM:540416 52 Quick Ratio is 1.33 as of Mar. 2026, which is 41% below its 10-year median of 2.26. GuruFocus rates BOM:540416 with a GF Score™ of 52/100 and a GF Value™ of ₹47.61 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,868 Software companies, Octaware Technologies ranks worse than 62.03% 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. Octaware Technologies's quick ratio for the quarter that ended in Mar. 2026 was 1.33.

Octaware Technologies has a quick ratio of 1.33. It generally indicates good short-term financial strength.

The historical rank and industry rank for Octaware Technologies's Quick Ratio or its related term are showing as below:

BOM:540416' s Quick Ratio Range Over the Past 10 Years
Min: 1.07   Med: 2.26   Max: 11.88
Current: 1.33

During the past 13 years, Octaware Technologies's highest Quick Ratio was 11.88. The lowest was 1.07. And the median was 2.26.

BOM:540416's Quick Ratio is ranked worse than
62.03% of 2868 companies
in the Software industry
Industry Median: 1.705 vs BOM:540416: 1.33

Octaware Technologies  (BOM:540416) 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.


Octaware Technologies Quick Ratio Related Terms


Octaware Technologies Quick Ratio Historical Data

* Premium members only.

The historical data trend for Octaware Technologies'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.

Octaware Technologies Quick Ratio Chart

Octaware Technologies Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.21 1.45 1.07 1.07 1.33

Octaware Technologies Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.07 1.18 1.07 1.13 1.33

BOM:540416 vs UBER, SHOP, CRM: Quick Ratio Comparison

For the Software - Application subindustry, Octaware Technologies'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.


Octaware Technologies Quick Ratio vs Software Industry

For the Software industry and Technology sector, Octaware Technologies's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Octaware Technologies's Quick Ratio falls into.


BOM:540416
52GF Score
Octaware Technologies Ltd BOM:540416
Quick Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Octaware Technologies Quick Ratio Calculation

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.

Octaware Technologies's Quick Ratio for the fiscal year that ended in Mar. 2026 is calculated as

Quick Ratio (A: Mar. 2026 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(76.113-0)/57.339
=1.33

Octaware Technologies's Quick Ratio for the quarter that ended in Mar. 2026 is calculated as

Quick Ratio (Q: Mar. 2026 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(76.113-0)/57.339
=1.33

* 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.

Frequently Asked Questions Learn more about Quick Ratio →
What does a Quick Ratio of 1.33 mean?
Octaware Technologies (BOM:540416) has a Quick Ratio of 1.33 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Octaware Technologies and its competitors. This is 41% below median its historical median of 2.26. Over the past decade, Octaware Technologies' Quick Ratio has ranged from 1.07 to 11.88. According to the industry distribution chart, Octaware Technologies ranks #1779 out of 2868 companies in the Software industry, placing it in the top 62%.
Is Octaware Technologies' Quick Ratio too high?
Octaware Technologies' current Quick Ratio of 1.33 is 41% below median its 10-year median of 2.26. Over the past 10 years, this metric has ranged from a low of 1.07 to a high of 11.88. The Software industry median Quick Ratio is 1.71. Octaware Technologies' value of 1.33 is 22% below this industry median. Based on the distribution chart, Octaware Technologies ranks #1779 out of 2868 companies in the Software industry, which is below the industry midpoint. Overall, Octaware Technologies has a GF Score™ of 52/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Octaware Technologies' Quick Ratio compare to UBER and SHOP?
According to the Software industry distribution chart, Octaware Technologies ranks #1779 out of 2868 companies for Quick Ratio. This places Octaware Technologies in the lower half of its industry. The industry median Quick Ratio is 1.71. Octaware Technologies' value of 1.33 is 22% below this benchmark. Historically, Octaware Technologies' own Quick Ratio has ranged from 1.07 to 11.88 over the past decade. While the company's 10-year median is 2.26 vs. the industry median of 1.71, Octaware Technologies 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 Quick Ratio for a Software company?
The median Quick Ratio among Software companies is 1.71, based on 2,868 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. Octaware Technologies's current Quick Ratio of 1.33 is 22% 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 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 Octaware Technologies and its competitors. For the Software industry, the median Quick Ratio is 1.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Octaware Technologies's current Quick Ratio is 1.33, which is 41% below median its own 10-year median of 2.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Octaware Technologies stock overvalued right now?
Based on GuruFocus' analysis, Octaware Technologies (BOM:540416) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹47.61, compared to a current price of ₹63.60 — trading 33.6% above its estimated fair value. The current Quick Ratio is 1.33, which is 41% below median its 10-year median of 2.26 and 22% below the Software industry median of 1.71. Octaware Technologies' overall GF Score™ is 52/100 with 3 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 Octaware Technologies (BOM:540416), the current Quick Ratio is 1.33 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 Octaware Technologies (BOM:540416) Overvalued in 2026?

Based on GuruFocus' analysis, Octaware Technologies stock appears to be overvalued. The current stock price of ₹63.60 is trading 33.6% above its estimated GF Value™ of ₹47.61. GuruFocus considers Octaware Technologies to be Significantly Overvalued.

Key valuation signals for BOM:540416:

  • Quick Ratio: 1.33 (41% below median its 10-year median of 2.26)
  • GF Value™: ₹47.61 vs. price of ₹63.60 (33.6% above fair value)
  • GF Score™: 52/100 with 3 warning signs
  • Industry Position: 22% below the Software median (#1779 of 2868)

No single metric tells the full story. See the BOM:540416 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Octaware Technologies Business Description

Address Makwana Road, Off Andheri-Kurla Road, 204, Timmy Arcade, Marol, Andheri (East), Mumbai, MH, IND, 400 059
Octaware Technologies Ltd is a software development, enterprise solution, and consulting firm engaged in the business of providing a range of Information Technology (IT) solutions. It serves healthcare, finance, government, education, real estate, construction, and other industries. The company services include Enterprise Portal, ERP and CRM Implementation, Software Architecture, Software Development Services, Mobile Solutions, Cloud, Security and IT Infrastructure Services, Geospatial Services, and others. Some of its products include PowerERM, Hospice, iOnAsset, Intelli Trade, and others. It also has a presence in the USA, Singapore, UAE, Qatar, Saudi Arabia, and India. Revenue is generated from the sale of services.
52GF Score

Get the complete analysis for BOM:540416

Quick Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹63.60
Price
₹47.61
GF Value