Gul Ahmed Textile MillsKAR:GATM -0.75%75 Quick Ratio is 0.37 as of Mar. 2026, which is at its 10-year median of 0.37. GuruFocus rates KAR:GATM with a GF Score™ of 75/100 and a GF Value™ of ₨23.58 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,065 Manufacturing - Apparel & Accessories companies, Gul Ahmed Textile Mills ranks worse than 89.95% on this metric.
Gul Ahmed Textile Mills (KAR:GATM) 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.
Gul Ahmed Textile Mills Quick Ratio Related Terms
Gul Ahmed Textile Mills 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.
Gul Ahmed Textile Mills Quick Ratio Competitor Comparison
For the Textile Manufacturing subindustry, Gul Ahmed Textile Mills'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.
Gul Ahmed Textile Mills Quick Ratio vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Gul Ahmed Textile Mills's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Gul Ahmed Textile Mills'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.
Gul Ahmed Textile Mills'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.
Gul Ahmed Textile Mills (KAR:GATM) has a Quick Ratio of 0.37 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Gul Ahmed Textile Mills and its competitors. This is near median its historical median of 0.37. Over the past decade, Gul Ahmed Textile Mills' Quick Ratio has ranged from 0.25 to 0.52. According to the industry distribution chart, Gul Ahmed Textile Mills ranks #958 out of 1065 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 90%.
Is Gul Ahmed Textile Mills' Quick Ratio too high?
Gul Ahmed Textile Mills' current Quick Ratio of 0.37 is near median its 10-year median of 0.37. Over the past 10 years, this metric has ranged from a low of 0.25 to a high of 0.52. The Manufacturing - Apparel & Accessories industry median Quick Ratio is 1.11. Gul Ahmed Textile Mills' value of 0.37 is 66.7% below this industry median. Based on the distribution chart, Gul Ahmed Textile Mills ranks #958 out of 1065 companies in the Manufacturing - Apparel & Accessories industry, which is in the bottom quartile relative to peers. Overall, Gul Ahmed Textile Mills has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Gul Ahmed Textile Mills' Quick Ratio compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Gul Ahmed Textile Mills ranks #958 out of 1065 companies for Quick Ratio. This places Gul Ahmed Textile Mills in the lower half of its industry. The industry median Quick Ratio is 1.11. Gul Ahmed Textile Mills' value of 0.37 is 66.7% below this benchmark. Historically, Gul Ahmed Textile Mills' own Quick Ratio has ranged from 0.25 to 0.52 over the past decade. While the company's 10-year median is 0.37 vs. the industry median of 1.11, Gul Ahmed Textile Mills 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 Manufacturing - Apparel & Accessories company?
The median Quick Ratio among Manufacturing - Apparel & Accessories companies is 1.11, based on 1,065 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. Gul Ahmed Textile Mills's current Quick Ratio of 0.37 is 66.7% 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 Gul Ahmed Textile Mills and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Quick Ratio is 1.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gul Ahmed Textile Mills's current Quick Ratio is 0.37, which is near median its own 10-year median of 0.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gul Ahmed Textile Mills stock overvalued right now?
Based on GuruFocus' analysis, Gul Ahmed Textile Mills (KAR:GATM) is currently considered Modestly Overvalued. The stock's GF Value™ is ₨23.58, compared to a current price of ₨30.26 — trading 28.3% above its estimated fair value. The current Quick Ratio is 0.37, which is near median its 10-year median of 0.37 and 66.7% below the Manufacturing - Apparel & Accessories industry median of 1.11. Gul Ahmed Textile Mills' overall GF Score™ is 75/100 with 6 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 Gul Ahmed Textile Mills (KAR:GATM), the current Quick Ratio is 0.37 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 Gul Ahmed Textile Mills (KAR:GATM) Overvalued in 2026?
Based on GuruFocus' analysis, Gul Ahmed Textile Mills stock appears to be overvalued.
The current stock price of ₨30.26 is trading 28.3% above its estimated GF Value™ of ₨23.58.
GuruFocus considers Gul Ahmed Textile Mills to be Modestly Overvalued.
Key valuation signals for KAR:GATM:
Quick Ratio: 0.37 (near median its 10-year median of 0.37)
GF Value™: ₨23.58 vs. price of ₨30.26 (28.3% above fair value)
Industry Position: 66.7% below the Manufacturing - Apparel & Accessories median (#958 of 1065)
No single metric tells the full story. See the KAR:GATM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Gul Ahmed Textile Mills Ltd is engaged in the manufacturing and sale of textile products. The company operates in three segments including Spinning that produces different qualities of yarn using both natural and artificial fibers; Home Textiles that produces different types and qualities of products falling under the definition of home textile; and Others include Weaving, Fiber Bleaching, Knitting, Apparel, Yarn dyeing and Dyed yarn fabric etc. The majority of the revenue is derived from Home Textiles segment.
75GF Score
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