Virtusa Ranks the Highest in Terms of Current Ratio in the IT Consulting & Other Services Industry

4-Jan-2012

Source www.fnno.com

By Peter Chu

Below are the three companies in the IT Consulting & Other Services industry with the highest current ratios. Current ratio is useful to get an idea of how quickly a company can repay its short-term liabilities with its short-term assets. The higher the current ratio, the more capable the company is of paying its obligations.

Virtusa (NASDAQ:VRTU) is highest with a current ratio of 3.8. Virtusa Corporation is a global information technology services company. The Company's services include a broad range of information technology services, including IT consulting, technology implementation and application outsourcing.

There is potential upside of 40.9% for shares of Virtusa based on a current price of $14.48 and an average consensus analyst price target of $20.40. Virtusa shares should first meet resistance at the 50-day moving average (MA) of $15.01 and find additional resistance at the 200-day MA of $16.83.

Cognizant Technology Solutions (NASDAQ:CTSH) is next with a current ratio of 3.7.

Finishing up the top three is hiSoft Technology (NASDAQ:HSFT), with a current ratio of 2.8.