Hikari TsushinFRA:HIK +2.73%81 Quick Ratio is 2.11 as of Mar. 2026, which is 18% above its 10-year median of 1.79. GuruFocus rates FRA:HIK with a GF Score™ of 81/100 and a GF Value™ of €215.54 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 563 Conglomerates companies, Hikari Tsushin ranks better than 76.91% 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. Hikari Tsushin's quick ratio for the quarter that ended in Mar. 2026 was 2.11.
Hikari Tsushin has a quick ratio of 2.11. It generally indicates good short-term financial strength.
The historical rank and industry rank for Hikari Tsushin's Quick Ratio or its related term are showing as below:
FRA:HIK'
s Quick Ratio Range Over the Past 10 Years
Min: 1.54 Med: 1.79 Max: 2.11
Current: 2.11
During the past 13 years, Hikari Tsushin's highest Quick Ratio was 2.11. The lowest was 1.54. And the median was 1.79.
FRA:HIK's Quick Ratio is ranked better than 76.91% of 563
companies
in the Conglomerates industry
Industry Median: 1.19
vs FRA:HIK: 2.11
Hikari Tsushin (FRA:HIK) 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.
Hikari Tsushin Quick Ratio Related Terms
Hikari Tsushin Quick Ratio Historical Data
* Premium members only.
The historical data trend for Hikari Tsushin'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 Conglomerates subindustry, Hikari Tsushin'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.
Hikari Tsushin Quick Ratio vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Hikari Tsushin's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Hikari Tsushin'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.
Hikari Tsushin's Quick Ratio for the fiscal year that ended in Mar. 2026 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.
Hikari Tsushin (FRA:HIK) has a Quick Ratio of 2.11 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Hikari Tsushin and its competitors. This is 18% above median its historical median of 1.79. Over the past decade, Hikari Tsushin's Quick Ratio has ranged from 1.54 to 2.11. According to the industry distribution chart, Hikari Tsushin ranks #130 out of 563 companies in the Conglomerates industry, placing it in the top 23.1%.
Is Hikari Tsushin's Quick Ratio too high?
Hikari Tsushin's current Quick Ratio of 2.11 is 18% above median its 10-year median of 1.79. Over the past 10 years, this metric has ranged from a low of 1.54 to a high of 2.11. The Conglomerates industry median Quick Ratio is 1.19. Hikari Tsushin's value of 2.11 is 77.3% above this industry median. Based on the distribution chart, Hikari Tsushin ranks #130 out of 563 companies in the Conglomerates industry, which is in the top quartile — a strong position relative to peers. Overall, Hikari Tsushin has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hikari Tsushin's Quick Ratio compare to HON and MMM?
According to the Conglomerates industry distribution chart, Hikari Tsushin ranks #130 out of 563 companies for Quick Ratio. This places Hikari Tsushin in the top 23% of its industry — outperforming the majority of peers. The industry median Quick Ratio is 1.19. Hikari Tsushin's value of 2.11 is 77.3% above this benchmark. Historically, Hikari Tsushin's own Quick Ratio has ranged from 1.54 to 2.11 over the past decade. While the company's 10-year median is 1.79 vs. the industry median of 1.19, Hikari Tsushin 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 Conglomerates company?
The median Quick Ratio among Conglomerates companies is 1.19, based on 563 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. Hikari Tsushin's current Quick Ratio of 2.11 is 77.3% 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 Hikari Tsushin and its competitors. For the Conglomerates industry, the median Quick Ratio is 1.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hikari Tsushin's current Quick Ratio is 2.11, which is 18% above median its own 10-year median of 1.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hikari Tsushin stock overvalued right now?
Based on GuruFocus' analysis, Hikari Tsushin (FRA:HIK) is currently considered Modestly Undervalued. The stock's GF Value™ is €215.54, compared to a current price of €188.00 — trading 12.8% below its estimated fair value. The current Quick Ratio is 2.11, which is 18% above median its 10-year median of 1.79 and 77.3% above the Conglomerates industry median of 1.19. Hikari Tsushin's overall GF Score™ is 81/100 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 Hikari Tsushin (FRA:HIK), the current Quick Ratio is 2.11 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 Hikari Tsushin (FRA:HIK) Overvalued in 2026?
Based on GuruFocus' analysis, Hikari Tsushin stock appears to be undervalued.
The current stock price of €188.00 is trading 12.8% below its estimated GF Value™ of €215.54.
GuruFocus considers Hikari Tsushin to be Modestly Undervalued.
Key valuation signals for FRA:HIK:
Quick Ratio: 2.11 (18% above median its 10-year median of 1.79)
GF Value™: €215.54 vs. price of €188.00 (12.8% below fair value)
Industry Position: 77.3% above the Conglomerates median (#130 of 563)
No single metric tells the full story. See the FRA:HIK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hikari Tsushin Inc operates as a holding company engaged in diversified businesses through seven segments: Electricity and Gas, Telecommunications, Beverages, Insurance, Finance, Solutions, and Agency Sales. The group provides electricity and gas supply, communication services, natural mineral water, non-life insurance, and warranty services, as well as financial services such as microfinance, industry-specific solution platforms, and agency sales of various products from telecommunications carriers and manufacturers. It generates the majority of its revenue from the Electricity and Gas segment.
81GF Score
Get the complete analysis for FRA:HIK
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
FRA:HIK has been successfully added to your 
