What is Clearwater Analytics Holdings Quick Ratio?
Clearwater Analytics HoldingsCWAN 81 Quick Ratio is 2.26 as of Mar. 2026, which is 56% below its 10-year median of 5.12. GuruFocus rates CWAN with a GF Score™ of 81/100 and a GF Value™ of $31.89 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 2,865 Software companies, Clearwater Analytics Holdings ranks better than 63.53% on this metric.
Clearwater Analytics Holdings has a quick ratio of 2.26. It generally indicates good short-term financial strength.
The historical rank and industry rank for Clearwater Analytics Holdings's Quick Ratio or its related term are showing as below:
CWAN'
s Quick Ratio Range Over the Past 10 Years
Min: 1.83 Med: 5.12 Max: 12.03
Current: 2.26
During the past 7 years, Clearwater Analytics Holdings's highest Quick Ratio was 12.03. The lowest was 1.83. And the median was 5.12.
CWAN's Quick Ratio is ranked better than 63.53% of 2865
companies
in the Software industry
Industry Median: 1.7
vs CWAN: 2.26
Clearwater Analytics Holdings (NYSE:CWAN) 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.
Clearwater Analytics Holdings Quick Ratio Related Terms
Clearwater Analytics Holdings Quick Ratio Historical Data
* 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 - Application subindustry, Clearwater Analytics Holdings'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.
Clearwater Analytics Holdings Quick Ratio vs Software Industry
For the Software industry and Technology sector, Clearwater Analytics Holdings's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Clearwater Analytics Holdings's Quick Ratio falls into.
Clearwater Analytics Holdings 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.
* 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.
Clearwater Analytics Holdings (CWAN) has a Quick Ratio of 2.26 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Clearwater Analytics Holdings and its competitors. This is 56% below median its historical median of 5.12. Over the past decade, Clearwater Analytics Holdings' Quick Ratio has ranged from 1.83 to 12.03. According to the industry distribution chart, Clearwater Analytics Holdings ranks #1045 out of 2865 companies in the Software industry, placing it in the top 36.5%.
Is Clearwater Analytics Holdings' Quick Ratio too high?
Clearwater Analytics Holdings' current Quick Ratio of 2.26 is 56% below median its 10-year median of 5.12. Over the past 10 years, this metric has ranged from a low of 1.83 to a high of 12.03. The Software industry median Quick Ratio is 1.70. Clearwater Analytics Holdings' value of 2.26 is 32.9% above this industry median. Based on the distribution chart, Clearwater Analytics Holdings ranks #1045 out of 2865 companies in the Software industry, which is above the industry midpoint. Overall, Clearwater Analytics Holdings has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Clearwater Analytics Holdings' Quick Ratio compare to CHYM and PCOR?
According to the Software industry distribution chart, Clearwater Analytics Holdings ranks #1045 out of 2865 companies for Quick Ratio. This puts Clearwater Analytics Holdings in the upper half of its industry. The industry median Quick Ratio is 1.70. Clearwater Analytics Holdings' value of 2.26 is 32.9% above this benchmark. Historically, Clearwater Analytics Holdings' own Quick Ratio has ranged from 1.83 to 12.03 over the past decade. While the company's 10-year median is 5.12 vs. the industry median of 1.70, Clearwater Analytics Holdings 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 a Software company?
The median Quick Ratio among Software companies is 1.70, based on 2,865 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. Clearwater Analytics Holdings's current Quick Ratio of 2.26 is 32.9% 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 Clearwater Analytics Holdings and its competitors. For the Software industry, the median Quick Ratio is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Clearwater Analytics Holdings's current Quick Ratio is 2.26, which is 56% below median its own 10-year median of 5.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Clearwater Analytics Holdings stock overvalued right now?
Based on GuruFocus' analysis, Clearwater Analytics Holdings (CWAN) is currently considered Modestly Undervalued. The stock's GF Value™ is $31.89, compared to a current price of $24.56 — trading 23% below its estimated fair value. The current Quick Ratio is 2.26, which is 56% below median its 10-year median of 5.12 and 32.9% above the Software industry median of 1.70. Clearwater Analytics Holdings' overall GF Score™ is 81/100 with 7 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 Clearwater Analytics Holdings (CWAN), the current Quick Ratio is 2.26 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 Clearwater Analytics Holdings (CWAN) Overvalued in 2026?
Based on GuruFocus' analysis, Clearwater Analytics Holdings stock appears to be undervalued.
The current stock price of $24.56 is trading 23% below its estimated GF Value™ of $31.89.
GuruFocus considers Clearwater Analytics Holdings to be Modestly Undervalued.
Key valuation signals for CWAN:
Quick Ratio: 2.26 (56% below median its 10-year median of 5.12)
GF Value™: $31.89 vs. price of $24.56 (23% below fair value)
Industry Position: 32.9% above the Software median (#1045 of 2865)
No single metric tells the full story. See the CWAN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Clearwater Analytics Holdings Business Description
Clearwater Analytics describes its mission as aiming to be the world's most trusted and comprehensive technology platform for the entire investment cycle. Clearwater has historically focused on back-office functions such as investment accounting, but with acquisitions such Enfusion, Beacon, and Bistro, the firm has broadened its focus with front-office and middle-office capabilities. Clearwater primarily serves insurance companies, asset managers, hedge funds, and corporate treasuries. Pro forma for Enfusion, about 76% of Clearwater's revenue is generated in the US.
81GF Score
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