Erayak Power Solution GroupRAYA -0.71%51 Quick Ratio is 1.62 as of Dec. 2025, which is 42% above its 10-year median of 1.14. GuruFocus rates RAYA with a GF Score™ of 51/100 and a GF Value™ of $2,184.63 (Possible Value Trap). The stock has 8 warning signs investors should review. Among 3,071 Industrial Products companies, Erayak Power Solution Group ranks better than 59.2% on this metric.
Erayak Power Solution Group has a quick ratio of 1.62. It generally indicates good short-term financial strength.
The historical rank and industry rank for Erayak Power Solution Group's Quick Ratio or its related term are showing as below:
RAYA'
s Quick Ratio Range Over the Past 10 Years
Min: 0.22 Med: 1.14 Max: 1.62
Current: 1.62
During the past 7 years, Erayak Power Solution Group's highest Quick Ratio was 1.62. The lowest was 0.22. And the median was 1.14.
RAYA's Quick Ratio is ranked better than 59.2% of 3071
companies
in the Industrial Products industry
Industry Median: 1.39
vs RAYA: 1.62
Erayak Power Solution Group (NAS:RAYA) 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.
Erayak Power Solution Group Quick Ratio Related Terms
Erayak Power Solution Group 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.
For the Electrical Equipment & Parts subindustry, Erayak Power Solution Group'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.
Erayak Power Solution Group Quick Ratio vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Erayak Power Solution Group's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Erayak Power Solution Group's Quick Ratio falls into.
Erayak Power Solution Group Quick Ratio Calculation
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.
* 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.
Erayak Power Solution Group (RAYA) has a Quick Ratio of 1.62 as of Dec. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Erayak Power Solution Group and its competitors. This is 42% above median its historical median of 1.14. Over the past decade, Erayak Power Solution Group's Quick Ratio has ranged from 0.22 to 1.62. According to the industry distribution chart, Erayak Power Solution Group ranks #1253 out of 3071 companies in the Industrial Products industry, placing it in the top 40.8%.
Is Erayak Power Solution Group's Quick Ratio too high?
Erayak Power Solution Group's current Quick Ratio of 1.62 is 42% above median its 10-year median of 1.14. Over the past 10 years, this metric has ranged from a low of 0.22 to a high of 1.62. The Industrial Products industry median Quick Ratio is 1.39. Erayak Power Solution Group's value of 1.62 is 16.5% above this industry median. Based on the distribution chart, Erayak Power Solution Group ranks #1253 out of 3071 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Erayak Power Solution Group has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Erayak Power Solution Group's Quick Ratio compare to LNKS and CCTG?
According to the Industrial Products industry distribution chart, Erayak Power Solution Group ranks #1253 out of 3071 companies for Quick Ratio. This puts Erayak Power Solution Group in the upper half of its industry. The industry median Quick Ratio is 1.39. Erayak Power Solution Group's value of 1.62 is 16.5% above this benchmark. Historically, Erayak Power Solution Group's own Quick Ratio has ranged from 0.22 to 1.62 over the past decade. While the company's 10-year median is 1.14 vs. the industry median of 1.39, Erayak Power Solution Group 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 an Industrial Products company?
The median Quick Ratio among Industrial Products companies is 1.39, based on 3,071 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. Erayak Power Solution Group's current Quick Ratio of 1.62 is 16.5% 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 Erayak Power Solution Group and its competitors. For the Industrial Products industry, the median Quick Ratio is 1.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Erayak Power Solution Group's current Quick Ratio is 1.62, which is 42% above median its own 10-year median of 1.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Erayak Power Solution Group stock overvalued right now?
Based on GuruFocus' analysis, Erayak Power Solution Group (RAYA) is currently considered Possible Value Trap. The stock's GF Value™ is $2,184.63, compared to a current price of $2.79 — trading 99.9% below its estimated fair value. The current Quick Ratio is 1.62, which is 42% above median its 10-year median of 1.14 and 16.5% above the Industrial Products industry median of 1.39. Erayak Power Solution Group's overall GF Score™ is 51/100 with 8 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 Erayak Power Solution Group (RAYA), the current Quick Ratio is 1.62 as of Dec. 2025. 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 Erayak Power Solution Group (RAYA) Overvalued in 2026?
Based on GuruFocus' analysis, Erayak Power Solution Group stock appears to be undervalued.
The current stock price of $2.79 is trading 99.9% below its estimated GF Value™ of $2,184.63.
GuruFocus considers Erayak Power Solution Group to be Possible Value Trap.
Key valuation signals for RAYA:
Quick Ratio: 1.62 (42% above median its 10-year median of 1.14)
GF Value™: $2,184.63 vs. price of $2.79 (99.9% below fair value)
Industry Position: 16.5% above the Industrial Products median (#1253 of 3071)
No single metric tells the full story. See the RAYA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Erayak Power Solution Group Inc is engaged in the manufacturing, research and development (R&D), and wholesale and retail of power solution products. The group focuses on manufacturing new energy storage and inverter devices. Its product portfolio includes sine wave and off-grid inverters, inverters and gasoline generators, battery and smart chargers, and custom-designed products. The products are used principally in agricultural and industrial vehicles, recreational vehicles (RVs), electrical appliances, and outdoor living products. The company generates the majority of its revenue from Inverters. The company generates revenue from five main markets, which are China, Poland, Mexico, the U.K., and Portugal. It derives maximum revenue from China.
51GF Score
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