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. Severstal PAO's quick ratio for the quarter that ended in Dec. 2023 was 1.58.
Severstal PAO has a quick ratio of 1.58. It generally indicates good short-term financial strength.
The historical rank and industry rank for Severstal PAO's Quick Ratio or its related term are showing as below:
XTER:RTS2's Quick Ratio is not ranked *
in the Steel industry.
Industry Median: 1.02 * Ranked among companies with meaningful Quick Ratio only.
Severstal PAO (XTER:RTS2) 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.
Severstal PAO Quick Ratio Related Terms
Severstal PAO Quick Ratio Historical Data
* Premium members only.
The historical data trend for Severstal PAO'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.
XTER:RTS2 vs NUE, STLD, RS: Quick Ratio Comparison
For the Steel subindustry, Severstal PAO'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.
Severstal PAO Quick Ratio vs Steel Industry
For the Steel industry and Basic Materials sector, Severstal PAO's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Severstal PAO'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.
Severstal PAO's Quick Ratio for the fiscal year that ended in Dec. 2023 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.
Severstal PAO (XTER:RTS2) has a Quick Ratio of 1.58 as of Dec. 2023. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Severstal PAO and its competitors.
Is Severstal PAO's Quick Ratio too high?
Severstal PAO's current Quick Ratio is 1.58. The Steel industry median Quick Ratio is 1.02. Severstal PAO's value of 1.58 is 54.9% above this industry median. Overall, Severstal PAO has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does Severstal PAO's Quick Ratio compare to NUE and STLD?
Severstal PAO's Quick Ratio of 1.58 can be compared against companies in the Steel industry. The industry median Quick Ratio is 1.02. Severstal PAO's value of 1.58 is 54.9% above this benchmark. 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 Steel company?
The median Quick Ratio among Steel companies is 1.02, based on 636 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. Severstal PAO's current Quick Ratio of 1.58 is 54.9% 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 Severstal PAO and its competitors. For the Steel industry, the median Quick Ratio is 1.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Severstal PAO's current Quick Ratio is 1.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Severstal PAO stock overvalued right now?
Severstal PAO (XTER:RTS2) has a current Quick Ratio of 1.58. The current Quick Ratio is 1.58 and 54.9% above the Steel industry median of 1.02. Severstal PAO's overall GF Score™ is 17/100. 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 Severstal PAO (XTER:RTS2), the current Quick Ratio is 1.58 as of Dec. 2023. 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.
Severstal PAO is a vertically integrated steel and mining company in Russia. The company has two operating divisions: Severstal Resources and Severstal Russian Steel. Its core asset is the Cherepovets steel mill, which is located within easy access of the company's mining operations, the Baltic ports, and Russia's industrial heartland. The company produces iron ore pellets, iron ore concentrates, crushed stones, ferrite strontium powder, coking & steam coal, and coking coal concentrate. These materials are provided to six industry categories: construction and service processing, tube and pipe, oil and gas, machinery, autos, and others. Construction and service processing accounts for a majority of sales. Severstal generates most of its revenue in Russia.
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