Nitto DenkoNDEKY +2.25%81 Quick Ratio is 2.83 as of Mar. 2026, which is 0% above its 10-year median of 2.82. GuruFocus rates NDEKY with a GF Score™ of 81/100 and a GF Value™ of $19.10 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,609 Chemicals companies, Nitto Denko ranks better than 79.3% 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. Nitto Denko's quick ratio for the quarter that ended in Mar. 2026 was 2.83.
Nitto Denko has a quick ratio of 2.83. It generally indicates good short-term financial strength.
The historical rank and industry rank for Nitto Denko's Quick Ratio or its related term are showing as below:
NDEKY'
s Quick Ratio Range Over the Past 10 Years
Min: 2.72 Med: 2.82 Max: 3.08
Current: 2.83
During the past 13 years, Nitto Denko's highest Quick Ratio was 3.08. The lowest was 2.72. And the median was 2.82.
NDEKY's Quick Ratio is ranked better than 79.3% of 1609
companies
in the Chemicals industry
Industry Median: 1.38
vs NDEKY: 2.83
Nitto Denko (OTCPK:NDEKY) 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.
Nitto Denko Quick Ratio Related Terms
Nitto Denko Quick Ratio Historical Data
* Premium members only.
The historical data trend for Nitto Denko'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 Specialty Chemicals subindustry, Nitto Denko'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.
Nitto Denko Quick Ratio vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Nitto Denko's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Nitto Denko'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.
Nitto Denko'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.
Nitto Denko (NDEKY) has a Quick Ratio of 2.83 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Nitto Denko and its competitors. This is near median its historical median of 2.82. Over the past decade, Nitto Denko's Quick Ratio has ranged from 2.72 to 3.08. According to the industry distribution chart, Nitto Denko ranks #333 out of 1609 companies in the Chemicals industry, placing it in the top 20.7%.
Is Nitto Denko's Quick Ratio too high?
Nitto Denko's current Quick Ratio of 2.83 is near median its 10-year median of 2.82. Over the past 10 years, this metric has ranged from a low of 2.72 to a high of 3.08. The Chemicals industry median Quick Ratio is 1.38. Nitto Denko's value of 2.83 is 105.1% above this industry median. Based on the distribution chart, Nitto Denko ranks #333 out of 1609 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Nitto Denko has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nitto Denko's Quick Ratio compare to LIN and SHW?
According to the Chemicals industry distribution chart, Nitto Denko ranks #333 out of 1609 companies for Quick Ratio. This places Nitto Denko in the top 21% of its industry — outperforming the majority of peers. The industry median Quick Ratio is 1.38. Nitto Denko's value of 2.83 is 105.1% above this benchmark. Historically, Nitto Denko's own Quick Ratio has ranged from 2.72 to 3.08 over the past decade. While the company's 10-year median is 2.82 vs. the industry median of 1.38, Nitto Denko 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 Chemicals company?
The median Quick Ratio among Chemicals companies is 1.38, based on 1,609 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. Nitto Denko's current Quick Ratio of 2.83 is 105.1% 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 Nitto Denko and its competitors. For the Chemicals industry, the median Quick Ratio is 1.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nitto Denko's current Quick Ratio is 2.83, which is near median its own 10-year median of 2.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nitto Denko stock overvalued right now?
Based on GuruFocus' analysis, Nitto Denko (NDEKY) is currently considered Fairly Valued. The stock's GF Value™ is $19.10, compared to a current price of $20.01 — trading 4.8% above its estimated fair value. The current Quick Ratio is 2.83, which is near median its 10-year median of 2.82 and 105.1% above the Chemicals industry median of 1.38. Nitto Denko's overall GF Score™ is 81/100 with 2 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 Nitto Denko (NDEKY), the current Quick Ratio is 2.83 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 Nitto Denko (NDEKY) Overvalued in 2026?
Based on GuruFocus' analysis, Nitto Denko stock appears to be overvalued.
The current stock price of $20.01 is trading 4.8% above its estimated GF Value™ of $19.10.
GuruFocus considers Nitto Denko to be Fairly Valued.
Key valuation signals for NDEKY:
Quick Ratio: 2.83 (near median its 10-year median of 2.82)
GF Value™: $19.10 vs. price of $20.01 (4.8% above fair value)
Industry Position: 105.1% above the Chemicals median (#333 of 1609)
No single metric tells the full story. See the NDEKY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nitto Denko is a manufacturer of advanced materials for niche industry applications. Its three segments are industrial tape (35% of revenue), optical films (55%), and materials used in health science (10%). Its advanced materials are used in manufacturing with main customers being suppliers to original equipment manufacturers in the computer, smartphone, and automobile industries. The company has more than 15,000 products. Most revenue is from Asia/Oceania (60%), followed by Japan (20%). The remainder is roughly equally split between Americas and Europe, each representing about 10% of revenue.
81GF Score
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