Current Ratio (Historical) Formula in Excel

The Current Ratio (Historical) formula in Excel with MarketXLS helps users quickly evaluate a company's capacity to settle short-term debts or obligations within one year. This function pulls historical fundamental data and calculates the current ratio, aiding in assessing a firm's liquidity. By leveraging MarketXLS data, you gain accurate, up-to-date figures right inside your Excel worksheets.

Understanding Current Ratio (Historical)

• The current ratio compares a company’s current assets to its current liabilities.
• It is especially useful for investors and financial analysts who aim to measure a firm’s short-term financial health.
• Use this formula when analyzing company fundamentals across different reporting periods (quarters, years, or trailing twelve months).

Syntax and Parameters

Use the following syntax to call the hf_Current_Ratio function in Excel:

=hf_Current_Ratio(Symbol, year, [quarter], [TTM])

• Return Value: A numeric value representing the current ratio, or "NA" if the input is invalid, the symbol is incorrect, or data is not available.
• Error Handling:
  • If the symbol is invalid or license is not valid, the function returns "NA".
  • Check your MarketXLS subscription to ensure it includes historical fundamental data.

? Pro Tip: Combine the year parameter with special keywords like "ly" (last year) or "lq" (last quarter) to retrieve dynamic data without updating cell references every time.

Examples and Usage

Below are a few ways to use the Current Ratio (Historical) formula in different scenarios:

1. Basic annual usage:

   =hf_Current_Ratio("MSFT", "2022")

   Retrieves the current ratio for Microsoft in the year 2022.

2. Quarterly result:

   =hf_Current_Ratio("^SPX", "2022", "2")

   Retrieves the current ratio for the S&P 500 index in the second quarter of 2022.

3. Trailing twelve months (TTM):

   =hf_Current_Ratio("MSFT", "2022", "3", "TTM")

   Retrieves the trailing twelve months value starting from the third quarter of 2022.

4. Using special keywords:

   =hf_Current_Ratio("MSFT", "lq")
   =hf_Current_Ratio("MSFT", "ly-1")

   • "lq" returns the last quarter’s value.
   • "ly-1" returns the value for the previous last year (one year before the last year).

5. Using cell references (for advanced workflows):

   • Cell references for year:

     =hf_Current_Ratio(A1, "2022")

     Here, A1 could contain a ticker symbol like "MSFT".
   • Excel date functions (extracting year from a date):

     =hf_Current_Ratio("MSFT", TEXT(A1,"yyyy"))

     If A1 has a date, this converts it to the year.

?? Note: Ensure your MarketXLS plan supports historical fundamental data for the desired metrics and that your symbol input is correct.

Common Questions

1. Why do I get "NA" as a result?

   • You may have an invalid symbol or insufficient subscription privileges. Verify your subscription and symbol correctness.

2. Can I apply this to indices, options, or crypto?

   • Yes. MarketXLS supports various symbol formats (e.g., "^SPX", "@MSFT 110122C00020000", "BTCUSD:DEFAULT"). Simply provide the symbol in quotes.

3. Does the function update automatically?

   • MarketXLS updates data when you refresh your worksheet or at intervals as per your Excel settings. Make sure you have a stable internet connection.

4. How can I improve performance when retrieving multiple values?

   • Minimize the number of real-time calls by grouping calculations or using an appropriate Excel refresh strategy. Also ensure you have the latest MarketXLS version for optimized data retrieval.

? Pro Tip: For more historical fundamentals, try related functions like hf_Revenue, hf_Cost_of_Revenue, or hf_Gross_Profit to build a comprehensive financial analysis model in Excel.