Ambuja CementsFRA:GJA -37.70%65 Quick Ratio is 0.70 as of Mar. 2026, which is 42% below its 10-year median of 1.20. GuruFocus rates FRA:GJA with a GF Score™ of 65/100 and a GF Value™ of €2.27 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 408 Building Materials companies, Ambuja Cements ranks worse than 71.81% 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. Ambuja Cements's quick ratio for the quarter that ended in Mar. 2026 was 0.70.
Ambuja Cements has a quick ratio of 0.70. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Ambuja Cements's Quick Ratio or its related term are showing as below:
FRA:GJA'
s Quick Ratio Range Over the Past 10 Years
Min: 0.68 Med: 1.2 Max: 1.68
Current: 0.7
During the past 13 years, Ambuja Cements's highest Quick Ratio was 1.68. The lowest was 0.68. And the median was 1.20.
FRA:GJA's Quick Ratio is ranked worse than 71.81% of 408
companies
in the Building Materials industry
Industry Median: 1.03
vs FRA:GJA: 0.70
Ambuja Cements (FRA:GJA) 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.
Ambuja Cements Quick Ratio Related Terms
Ambuja Cements Quick Ratio Historical Data
* Premium members only.
The historical data trend for Ambuja Cements'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 Building Materials subindustry, Ambuja Cements'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.
Ambuja Cements Quick Ratio vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Ambuja Cements's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Ambuja Cements'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.
Ambuja Cements's Quick Ratio for the fiscal year that ended in Mar. 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.
Ambuja Cements (FRA:GJA) has a Quick Ratio of 0.70 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Ambuja Cements and its competitors. This is 42% below median its historical median of 1.20. Over the past decade, Ambuja Cements' Quick Ratio has ranged from 0.68 to 1.68. According to the industry distribution chart, Ambuja Cements ranks #293 out of 408 companies in the Building Materials industry, placing it in the top 71.8%.
Is Ambuja Cements' Quick Ratio too high?
Ambuja Cements' current Quick Ratio of 0.70 is 42% below median its 10-year median of 1.20. Over the past 10 years, this metric has ranged from a low of 0.68 to a high of 1.68. The Building Materials industry median Quick Ratio is 1.03. Ambuja Cements' value of 0.70 is 32% below this industry median. Based on the distribution chart, Ambuja Cements ranks #293 out of 408 companies in the Building Materials industry, which is below the industry midpoint. Overall, Ambuja Cements has a GF Score™ of 65/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Ambuja Cements' Quick Ratio compare to ?
According to the Building Materials industry distribution chart, Ambuja Cements ranks #293 out of 408 companies for Quick Ratio. This places Ambuja Cements in the lower half of its industry. The industry median Quick Ratio is 1.03. Ambuja Cements' value of 0.70 is 32% below this benchmark. Historically, Ambuja Cements' own Quick Ratio has ranged from 0.68 to 1.68 over the past decade. While the company's 10-year median is 1.20 vs. the industry median of 1.03, Ambuja Cements 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 Building Materials company?
The median Quick Ratio among Building Materials companies is 1.03, based on 408 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. Ambuja Cements's current Quick Ratio of 0.70 is 32% 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 Ambuja Cements and its competitors. For the Building Materials industry, the median Quick Ratio is 1.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ambuja Cements's current Quick Ratio is 0.70, which is 42% below median its own 10-year median of 1.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ambuja Cements stock overvalued right now?
Based on GuruFocus' analysis, Ambuja Cements (FRA:GJA) is currently considered Possible Value Trap. The stock's GF Value™ is €2.27, compared to a current price of €1.57 — trading 30.8% below its estimated fair value. The current Quick Ratio is 0.70, which is 42% below median its 10-year median of 1.20 and 32% below the Building Materials industry median of 1.03. Ambuja Cements' overall GF Score™ is 65/100 with 5 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 Ambuja Cements (FRA:GJA), the current Quick Ratio is 0.70 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 Ambuja Cements (FRA:GJA) Overvalued in 2026?
Based on GuruFocus' analysis, Ambuja Cements stock appears to be undervalued.
The current stock price of €1.57 is trading 30.8% below its estimated GF Value™ of €2.27.
GuruFocus considers Ambuja Cements to be Possible Value Trap.
Key valuation signals for FRA:GJA:
Quick Ratio: 0.70 (42% below median its 10-year median of 1.20)
GF Value™: €2.27 vs. price of €1.57 (30.8% below fair value)
Industry Position: 32% below the Building Materials median (#293 of 408)
No single metric tells the full story. See the FRA:GJA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ambuja Cements Ltd is engaged in the manufacture and sale of cement, intermediary products, and cement-related products. The Company operates multiple cement manufacturing plants located at various locations and markets cement and cement-related products. Its product portfolio includes Ambuja Kawach, Ambuja Plus, Ambuja Compocem, Ambuja Cement, Ambuja Cool Walls, Purasand for Concrete & Plaster, and others. The Company generates revenue from within India.
65GF Score
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