Cherat Cement CoKAR:CHCC +2.13%88 Quick Ratio is 2.00 as of Mar. 2026, which is 355% above its 10-year median of 0.44. GuruFocus rates KAR:CHCC with a GF Score™ of 88/100 and a GF Value™ of ₨249.38 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 407 Building Materials companies, Cherat Cement Co ranks better than 76.9% on this metric.
Cherat Cement Co has a quick ratio of 2.00. It generally indicates good short-term financial strength.
The historical rank and industry rank for Cherat Cement Co's Quick Ratio or its related term are showing as below:
KAR:CHCC'
s Quick Ratio Range Over the Past 10 Years
Min: 0.17 Med: 0.44 Max: 2
Current: 2
During the past 13 years, Cherat Cement Co's highest Quick Ratio was 2.00. The lowest was 0.17. And the median was 0.44.
KAR:CHCC's Quick Ratio is ranked better than 76.9% of 407
companies
in the Building Materials industry
Industry Median: 1.03
vs KAR:CHCC: 2.00
Cherat Cement Co (KAR:CHCC) 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.
Cherat Cement Co Quick Ratio Related Terms
Cherat Cement Co Quick Ratio Historical Data
* Premium members only.
The historical data trend for Cherat Cement Co'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, Cherat Cement Co'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.
Cherat Cement Co Quick Ratio vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Cherat Cement Co's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Cherat Cement Co'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.
Cherat Cement Co'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.
Cherat Cement Co (KAR:CHCC) has a Quick Ratio of 2.00 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Cherat Cement Co and its competitors. This is 355% above median its historical median of 0.44. Over the past decade, Cherat Cement Co's Quick Ratio has ranged from 0.17 to 2.00. According to the industry distribution chart, Cherat Cement Co ranks #94 out of 407 companies in the Building Materials industry, placing it in the top 23.1%.
Is Cherat Cement Co's Quick Ratio too high?
Cherat Cement Co's current Quick Ratio of 2.00 is 355% above median its 10-year median of 0.44. Over the past 10 years, this metric has ranged from a low of 0.17 to a high of 2.00. The Building Materials industry median Quick Ratio is 1.03. Cherat Cement Co's value of 2.00 is 94.2% above this industry median. Based on the distribution chart, Cherat Cement Co ranks #94 out of 407 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Cherat Cement Co has a GF Score™ of 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cherat Cement Co's Quick Ratio compare to CRH and VMC?
According to the Building Materials industry distribution chart, Cherat Cement Co ranks #94 out of 407 companies for Quick Ratio. This places Cherat Cement Co in the top 23% of its industry — outperforming the majority of peers. The industry median Quick Ratio is 1.03. Cherat Cement Co's value of 2.00 is 94.2% above this benchmark. Historically, Cherat Cement Co's own Quick Ratio has ranged from 0.17 to 2.00 over the past decade. While the company's 10-year median is 0.44 vs. the industry median of 1.03, Cherat Cement Co 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 Building Materials company?
The median Quick Ratio among Building Materials companies is 1.03, based on 407 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. Cherat Cement Co's current Quick Ratio of 2.00 is 94.2% 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 Cherat Cement Co 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. Cherat Cement Co's current Quick Ratio is 2.00, which is 355% above median its own 10-year median of 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cherat Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Cherat Cement Co (KAR:CHCC) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨249.38, compared to a current price of ₨345.93 — trading 38.7% above its estimated fair value. The current Quick Ratio is 2.00, which is 355% above median its 10-year median of 0.44 and 94.2% above the Building Materials industry median of 1.03. Cherat Cement Co's overall GF Score™ is 88/100 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 Cherat Cement Co (KAR:CHCC), the current Quick Ratio is 2.00 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 Cherat Cement Co (KAR:CHCC) Overvalued in 2026?
Based on GuruFocus' analysis, Cherat Cement Co stock appears to be overvalued.
The current stock price of ₨345.93 is trading 38.7% above its estimated GF Value™ of ₨249.38.
GuruFocus considers Cherat Cement Co to be Significantly Overvalued.
Key valuation signals for KAR:CHCC:
Quick Ratio: 2.00 (355% above median its 10-year median of 0.44)
GF Value™: ₨249.38 vs. price of ₨345.93 (38.7% above fair value)
Industry Position: 94.2% above the Building Materials median (#94 of 407)
No single metric tells the full story. See the KAR:CHCC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cherat Cement Co Ltd is a Ghulam Faruque Group (GFG) Company. Its main business activity is the manufacturing, marketing, and sale of cement. The main product is ordinary Portland Cement, branded as Cherat, with the introduction of composite Cement named Cherat Khyber. The manufacturing plant is located in Village Lakrai, District Nowshera, Khyber Pakhtunkhwa, Pakistan. The product is actively exported to the Afghanistan market.
88GF Score
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