Edarat Communication And Information Technology Co (SAU:9557) Quick Ratio: 2.47 (As of Dec. 2025) — Near Median

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SAU:9557 Edarat Communication And Information Technology Co SAU:9557
51 GF Score
Price ﷼274.20
GF Value ﷼251.00
Valuation Fairly Valued
! 4 Warning Signs
View Full Analysis

What is Edarat Communication And Information Technology Co Quick Ratio?

Edarat Communication And Information Technology Co SAU:9557 +0.59% 51 Quick Ratio is 2.47 as of Dec. 2025, which is at its 10-year median of 2.47. GuruFocus rates SAU:9557 with a GF Score™ of 51/100 and a GF Value™ of ﷼251.00 (Fairly Valued). The stock has 4 warning signs investors should review. Among 2,876 Software companies, Edarat Communication And Information Technology Co ranks better than 67.39% 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. Edarat Communication And Information Technology Co's quick ratio for the quarter that ended in Dec. 2025 was 2.47.

Edarat Communication And Information Technology Co has a quick ratio of 2.47. It generally indicates good short-term financial strength.

The historical rank and industry rank for Edarat Communication And Information Technology Co's Quick Ratio or its related term are showing as below:

SAU:9557' s Quick Ratio Range Over the Past 10 Years
Min: 2.19   Med: 2.47   Max: 3.85
Current: 2.47

During the past 5 years, Edarat Communication And Information Technology Co's highest Quick Ratio was 3.85. The lowest was 2.19. And the median was 2.47.

SAU:9557's Quick Ratio is ranked better than
67.39% of 2876 companies
in the Software industry
Industry Median: 1.7 vs SAU:9557: 2.47

Edarat Communication And Information Technology Co  (SAU:9557) 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.


Edarat Communication And Information Technology Co Quick Ratio Related Terms


Edarat Communication And Information Technology Co Quick Ratio Historical Data

* Premium members only.

The historical data trend for Edarat Communication And Information Technology 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.

Edarat Communication And Information Technology Co Quick Ratio Chart

Edarat Communication And Information Technology Co Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Quick Ratio
2.27 2.19 3.15 3.85 2.47

Edarat Communication And Information Technology Co Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Quick Ratio Get a 7-Day Free Trial Premium Member Only 3.15 3.68 3.85 3.06 2.47

SAU:9557 vs IBM, ACN, FISV: Quick Ratio Comparison

For the Information Technology Services subindustry, Edarat Communication And Information Technology 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.


Edarat Communication And Information Technology Co Quick Ratio vs Software Industry

For the Software industry and Technology sector, Edarat Communication And Information Technology Co's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Edarat Communication And Information Technology Co's Quick Ratio falls into.


SAU:9557
51GF Score
Edarat Communication And Information Technology Co SAU:9557
Quick Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Edarat Communication And Information Technology Co 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.

Edarat Communication And Information Technology Co's Quick Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Quick Ratio (A: Dec. 2025 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(140.913-0)/57.019
=2.47

Edarat Communication And Information Technology Co's Quick Ratio for the quarter that ended in Dec. 2025 is calculated as

Quick Ratio (Q: Dec. 2025 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(140.913-0)/57.019
=2.47

* 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.

Frequently Asked Questions Learn more about Quick Ratio →
What does a Quick Ratio of 2.47 mean?
Edarat Communication And Information Technology Co (SAU:9557) has a Quick Ratio of 2.47 as of Dec. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Edarat Communication And Information Technology Co and its competitors. This is near median its historical median of 2.47. Over the past decade, Edarat Communication And Information Technology Co's Quick Ratio has ranged from 2.19 to 3.85. According to the industry distribution chart, Edarat Communication And Information Technology Co ranks #938 out of 2876 companies in the Software industry, placing it in the top 32.6%.
Is Edarat Communication And Information Technology Co's Quick Ratio too high?
Edarat Communication And Information Technology Co's current Quick Ratio of 2.47 is near median its 10-year median of 2.47. Over the past 10 years, this metric has ranged from a low of 2.19 to a high of 3.85. The Software industry median Quick Ratio is 1.70. Edarat Communication And Information Technology Co's value of 2.47 is 45.3% above this industry median. Based on the distribution chart, Edarat Communication And Information Technology Co ranks #938 out of 2876 companies in the Software industry, which is above the industry midpoint. Overall, Edarat Communication And Information Technology Co has a GF Score™ of 51/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Edarat Communication And Information Technology Co's Quick Ratio compare to IBM and ACN?
According to the Software industry distribution chart, Edarat Communication And Information Technology Co ranks #938 out of 2876 companies for Quick Ratio. This puts Edarat Communication And Information Technology Co in the upper half of its industry. The industry median Quick Ratio is 1.70. Edarat Communication And Information Technology Co's value of 2.47 is 45.3% above this benchmark. Historically, Edarat Communication And Information Technology Co's own Quick Ratio has ranged from 2.19 to 3.85 over the past decade. While the company's 10-year median is 2.47 vs. the industry median of 1.70, Edarat Communication And Information Technology 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 Software company?
The median Quick Ratio among Software companies is 1.70, based on 2,876 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. Edarat Communication And Information Technology Co's current Quick Ratio of 2.47 is 45.3% 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 Edarat Communication And Information Technology Co and its competitors. For the Software industry, the median Quick Ratio is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Edarat Communication And Information Technology Co's current Quick Ratio is 2.47, which is near median its own 10-year median of 2.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Edarat Communication And Information Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Edarat Communication And Information Technology Co (SAU:9557) is currently considered Fairly Valued. The stock's GF Value™ is ﷼251.00, compared to a current price of ﷼274.20 — trading 9.2% above its estimated fair value. The current Quick Ratio is 2.47, which is near median its 10-year median of 2.47 and 45.3% above the Software industry median of 1.70. Edarat Communication And Information Technology Co's overall GF Score™ is 51/100 with 4 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 Edarat Communication And Information Technology Co (SAU:9557), the current Quick Ratio is 2.47 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 Edarat Communication And Information Technology Co (SAU:9557) Overvalued in 2026?

Based on GuruFocus' analysis, Edarat Communication And Information Technology Co stock appears to be overvalued. The current stock price of ﷼274.20 is trading 9.2% above its estimated GF Value™ of ﷼251.00. GuruFocus considers Edarat Communication And Information Technology Co to be Fairly Valued.

Key valuation signals for SAU:9557:

  • Quick Ratio: 2.47 (near median its 10-year median of 2.47)
  • GF Value™: ﷼251.00 vs. price of ﷼274.20 (9.2% above fair value)
  • GF Score™: 51/100 with 4 warning signs
  • Industry Position: 45.3% above the Software median (#938 of 2876)

No single metric tells the full story. See the SAU:9557 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Edarat Communication And Information Technology Co Business Description

Address King Abdulaziz Road, PO Box. No. 2414, Al Yasmeen District, Riyadh, SAU, 13322
Edarat Communication And Information Technology Co is engaged in the implementation of service contracts including provision of virtual network operator services, colocation services, system analysis, design and programming of software, providing management and monitoring of communications and information networks, establishing web hosting infrastructure and related services, data center services and related activities and subscriptions to provide cloud computing service. Its services include data center engineering, data center colocation, Edge AI, Edarat Marketplace, and cloud services. The company has two operating segments; Data Center Engineering Services and Cloud Service. It derives maximum revenue from Data Center Engineering Services segment.
51GF Score

Get the complete analysis for SAU:9557

Quick Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼274.20
Price
﷼251.00
GF Value