Current Liabilities

The Current Liabilities Fundamental Analysis lookup allows you to check this and other indicators for any equity instrument. You can also select from a set of available indicators by clicking on the link to the right. Please note, this module does not cover all equities due to inconsistencies in global equity categorizations. Please continue to Equity Screeners to view more equity screening tools.
  
Current liabilities appear on the company's balance sheet and include all short term debt accounts, accounts and notes payable, accrued liabilities as well as current payments due on the long-term loans. One of the most useful applications of Current Liabilities is the current ratio which is defined as current assets divided by its current liabilities. High current ratios mean that current assets are more than sufficient to pay off current liabilities.

Current Liabilities

 = 

Payables

+

Accrued Debt

Current Liabilities is the company's short term debt. This usually includes obligations that are due within the next 12 months or within one fiscal year. Current liabilities are very important in analyzing a company's financial health as it requires the company to convert some of its current assets into cash.

Current Liabilities In A Nutshell

How might this play into your fundamental analysis you might ask, well it is simply to gauge how the company can handle short term debt and if there may be a short term cash flow issue coming. Nothing is worse than investing in a company that has to take on more debt to pay for their other debts, which causes a vicious cycle. Fundamental analysis will help you to unearth these issues and current liabilities is a great place to start.

Other line items you may want to look at in conjunction with the current liabilities is any long term debt, cash holdings, cash flow, and investments. These are all money central areas and can be liquidated and moved with relative ease. Investments may be a little more difficult because funds can be tied up in real estate or other long term holdings so understand where the company is investing excess funds.

When taking a look at companies and their fundamentals, you will usually end up on the balance sheet. Within the balance sheet, there is a section called current liabilities, what are and debts that the company must within twelve months. This line item could include any short term debts, any accrued liabilities, and accounts payable. Working capital is also derived using current liabilities, with the formula current assets minus current liabilities. There are also many different ratios out there that use current liabilities, such as the quick ratio and current ratio, which all tell us if the company can pay off their current liabilities effectively.

Closer Look at Current Liabilities

This won’t have much on an impact on anything technical as it is only a small part in the large company wheel, but it certainly could cause some short term issues that investors need to be aware of. Using ratios and other measures can help you to gauge where the company currently sits. It may be acceptable in some instances to compare them against another company, but at that level each company is unique and may be financing stuff for different reasons. So just be sure the current liabilities is not way out of range and that the company can handle them in an effective manner.

All Fundamental Indicators

Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Investor Education in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Investor Education short interest history, or implied volatility extrapolated from Investor Education options trading.

Building efficient market-beating portfolios requires time, education, and a lot of computing power!

The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.

Try AI Portfolio Architect
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any private could be tightly coupled with the direction of predictive economic indicators such as signals in estimate.
You can also try the Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.

Other Consideration for investing

Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Commodity Channel
Use Commodity Channel Index to analyze current equity momentum
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume
Theme Ratings
Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments
Fundamental Analysis
View fundamental data based on most recent published financial statements
Portfolio Analyzer
Portfolio analysis module that provides access to portfolio diagnostics and optimization engine
Portfolio Holdings
Check your current holdings and cash postion to detemine if your portfolio needs rebalancing
Odds Of Bankruptcy
Get analysis of equity chance of financial distress in the next 2 years
Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Commodity Directory
Find actively traded commodities issued by global exchanges