Encourage Technologies CoTSE:3682 75 Quick Ratio is 3.21 as of Mar. 2026, which is 29% below its 10-year median of 4.49. GuruFocus rates TSE:3682 with a GF Score™ of 75/100 and a GF Value™ of 円640.96 (Fairly Valued). The stock has 4 warning signs investors should review. Among 2,864 Software companies, Encourage Technologies Co ranks better than 76.78% on this metric.
Encourage Technologies Co has a quick ratio of 3.21. It generally indicates good short-term financial strength.
The historical rank and industry rank for Encourage Technologies Co's Quick Ratio or its related term are showing as below:
TSE:3682'
s Quick Ratio Range Over the Past 10 Years
Min: 2.96 Med: 4.49 Max: 5.87
Current: 3.21
During the past 13 years, Encourage Technologies Co's highest Quick Ratio was 5.87. The lowest was 2.96. And the median was 4.49.
TSE:3682's Quick Ratio is ranked better than 76.78% of 2864
companies
in the Software industry
Industry Median: 1.7
vs TSE:3682: 3.21
Encourage Technologies Co (TSE:3682) 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.
Encourage Technologies Co Quick Ratio Related Terms
Encourage Technologies Co 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.
TSE:3682 vs IBM, ACN, FISV: Quick Ratio Comparison
For the Information Technology Services subindustry, Encourage Technologies 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.
Encourage Technologies Co Quick Ratio vs Software Industry
For the Software industry and Technology sector, Encourage Technologies Co's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Encourage Technologies Co'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.
Encourage Technologies Co'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.
Encourage Technologies Co (TSE:3682) has a Quick Ratio of 3.21 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Encourage Technologies Co and its competitors. This is 29% below median its historical median of 4.49. Over the past decade, Encourage Technologies Co's Quick Ratio has ranged from 2.96 to 5.87. According to the industry distribution chart, Encourage Technologies Co ranks #665 out of 2864 companies in the Software industry, placing it in the top 23.2%.
Is Encourage Technologies Co's Quick Ratio too high?
Encourage Technologies Co's current Quick Ratio of 3.21 is 29% below median its 10-year median of 4.49. Over the past 10 years, this metric has ranged from a low of 2.96 to a high of 5.87. The Software industry median Quick Ratio is 1.70. Encourage Technologies Co's value of 3.21 is 88.8% above this industry median. Based on the distribution chart, Encourage Technologies Co ranks #665 out of 2864 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Encourage Technologies Co has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Encourage Technologies Co's Quick Ratio compare to IBM and ACN?
According to the Software industry distribution chart, Encourage Technologies Co ranks #665 out of 2864 companies for Quick Ratio. This places Encourage Technologies Co in the top 23% of its industry — outperforming the majority of peers. The industry median Quick Ratio is 1.70. Encourage Technologies Co's value of 3.21 is 88.8% above this benchmark. Historically, Encourage Technologies Co's own Quick Ratio has ranged from 2.96 to 5.87 over the past decade. While the company's 10-year median is 4.49 vs. the industry median of 1.70, Encourage Technologies 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 2,864 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. Encourage Technologies Co's current Quick Ratio of 3.21 is 88.8% 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 Encourage Technologies 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. Encourage Technologies Co's current Quick Ratio is 3.21, which is 29% below median its own 10-year median of 4.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encourage Technologies Co stock overvalued right now?
Based on GuruFocus' analysis, Encourage Technologies Co (TSE:3682) is currently considered Fairly Valued. The stock's GF Value™ is 円640.96, compared to a current price of 円600.00 — trading 6.4% below its estimated fair value. The current Quick Ratio is 3.21, which is 29% below median its 10-year median of 4.49 and 88.8% above the Software industry median of 1.70. Encourage Technologies Co's overall GF Score™ is 75/100 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 Encourage Technologies Co (TSE:3682), the current Quick Ratio is 3.21 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 Encourage Technologies Co (TSE:3682) Overvalued in 2026?
Based on GuruFocus' analysis, Encourage Technologies Co stock appears to be undervalued.
The current stock price of 円600.00 is trading 6.4% below its estimated GF Value™ of 円640.96.
GuruFocus considers Encourage Technologies Co to be Fairly Valued.
Key valuation signals for TSE:3682:
Quick Ratio: 3.21 (29% below median its 10-year median of 4.49)
GF Value™: 円640.96 vs. price of 円600.00 (6.4% below fair value)
Industry Position: 88.8% above the Software median (#665 of 2864)
No single metric tells the full story. See the TSE:3682 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Encourage Technologies Co Ltd develops software that monitors and audits user activity in IT systems. The company also provides maintenance support after the installation of the software as well consulting services.
75GF Score
Get the complete analysis for TSE:3682
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
TSE:3682 has been successfully added to your 
