Torrent PowerNSE:TORNTPOWER -1.99%88 Quick Ratio is 0.90 as of Mar. 2026, which is 6% below its 10-year median of 0.96. GuruFocus rates NSE:TORNTPOWER with a GF Score™ of 88/100 and a GF Value™ of ₹1,403.91 (Fairly Valued). The stock has 5 warning signs investors should review. Among 446 Utilities - Independent Power Producers companies, Torrent Power ranks worse than 66.37% 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. Torrent Power's quick ratio for the quarter that ended in Mar. 2026 was 0.90.
Torrent Power has a quick ratio of 0.90. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Torrent Power's Quick Ratio or its related term are showing as below:
NSE:TORNTPOWER'
s Quick Ratio Range Over the Past 10 Years
Min: 0.76 Med: 0.96 Max: 1.07
Current: 0.9
During the past 13 years, Torrent Power's highest Quick Ratio was 1.07. The lowest was 0.76. And the median was 0.96.
NSE:TORNTPOWER's Quick Ratio is ranked worse than 66.37% of 446
companies
in the Utilities - Independent Power Producers industry
Industry Median: 1.24
vs NSE:TORNTPOWER: 0.90
Torrent Power (NSE:TORNTPOWER) 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.
Torrent Power Quick Ratio Related Terms
Torrent Power Quick Ratio Historical Data
* Premium members only.
The historical data trend for Torrent Power'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.
NSE:TORNTPOWER vs CEG, VST, NRG: Quick Ratio Comparison
For the Utilities - Independent Power Producers subindustry, Torrent Power'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.
Torrent Power Quick Ratio vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Torrent Power's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Torrent Power'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.
Torrent Power'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.
Torrent Power (NSE:TORNTPOWER) has a Quick Ratio of 0.90 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Torrent Power and its competitors. This is near median its historical median of 0.96. Over the past decade, Torrent Power's Quick Ratio has ranged from 0.76 to 1.07. According to the industry distribution chart, Torrent Power ranks #296 out of 446 companies in the Utilities - Independent Power Producers industry, placing it in the top 66.4%.
Is Torrent Power's Quick Ratio too high?
Torrent Power's current Quick Ratio of 0.90 is near median its 10-year median of 0.96. Over the past 10 years, this metric has ranged from a low of 0.76 to a high of 1.07. The Utilities - Independent Power Producers industry median Quick Ratio is 1.24. Torrent Power's value of 0.90 is 27.4% below this industry median. Based on the distribution chart, Torrent Power ranks #296 out of 446 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Torrent Power has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Torrent Power's Quick Ratio compare to CEG and VST?
According to the Utilities - Independent Power Producers industry distribution chart, Torrent Power ranks #296 out of 446 companies for Quick Ratio. This places Torrent Power in the lower half of its industry. The industry median Quick Ratio is 1.24. Torrent Power's value of 0.90 is 27.4% below this benchmark. Historically, Torrent Power's own Quick Ratio has ranged from 0.76 to 1.07 over the past decade. While the company's 10-year median is 0.96 vs. the industry median of 1.24, Torrent Power 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 an Utilities - Independent Power Producers company?
The median Quick Ratio among Utilities - Independent Power Producers companies is 1.24, based on 446 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. Torrent Power's current Quick Ratio of 0.90 is 27.4% 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 Torrent Power and its competitors. For the Utilities - Independent Power Producers industry, the median Quick Ratio is 1.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Torrent Power's current Quick Ratio is 0.90, which is near median its own 10-year median of 0.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Torrent Power stock overvalued right now?
Based on GuruFocus' analysis, Torrent Power (NSE:TORNTPOWER) is currently considered Fairly Valued. The stock's GF Value™ is ₹1,403.91, compared to a current price of ₹1,366.50 — trading 2.7% below its estimated fair value. The current Quick Ratio is 0.90, which is near median its 10-year median of 0.96 and 27.4% below the Utilities - Independent Power Producers industry median of 1.24. Torrent Power'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 Torrent Power (NSE:TORNTPOWER), the current Quick Ratio is 0.90 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 Torrent Power (NSE:TORNTPOWER) Overvalued in 2026?
Based on GuruFocus' analysis, Torrent Power stock appears to be undervalued.
The current stock price of ₹1,366.50 is trading 2.7% below its estimated GF Value™ of ₹1,403.91.
GuruFocus considers Torrent Power to be Fairly Valued.
Key valuation signals for NSE:TORNTPOWER:
Quick Ratio: 0.90 (near median its 10-year median of 0.96)
GF Value™: ₹1,403.91 vs. price of ₹1,366.50 (2.7% below fair value)
Industry Position: 27.4% below the Utilities - Independent Power Producers median (#296 of 446)
No single metric tells the full story. See the NSE:TORNTPOWER stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Torrent Power Ltd is an Indian utility company engaged in the business of power generation, transmission, and distribution. Both by itself and through its subsidiaries, Torrent Power operates a portfolio of gas, combined cycle, coal, wind, and solar power plants. The group's reportable segments are: Generation, Transmission and Distribution, and Renewables. The majority of its revenue is generated from the Transmission and Distribution segment, which comprises transmission and distribution business (licensed and franchisee) and related ancillary services. The Generation segment includes the generation of power from thermal sources (gas and coal) and trading of Regassified Liquified Natural Gas, and the Renewables segment includes generation of power from renewable energy sources.
88GF Score
Get the complete analysis for NSE:TORNTPOWER
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
NSE:TORNTPOWER has been successfully added to your 
