Liquidity Services has a quick ratio of 1.15. It generally indicates good short-term financial strength.
The historical rank and industry rank for Liquidity Services's Quick Ratio or its related term are showing as below:
LQDT'
s Quick Ratio Range Over the Past 10 Years
Min: 0.75 Med: 1.22 Max: 2.35
Current: 1.15
During the past 13 years, Liquidity Services's highest Quick Ratio was 2.35. The lowest was 0.75. And the median was 1.22.
LQDT's Quick Ratio is ranked better than 62.79% of 1118
companies
in the Retail - Cyclical industry
Industry Median: 0.865
vs LQDT: 1.15
Liquidity Services Quick Ratio Historical Data
The historical data trend for Liquidity Services'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.
Competitive Comparison of Liquidity Services's Quick Ratio
For the Internet Retail subindustry, Liquidity Services'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.
Liquidity Services's Quick Ratio Distribution in the Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Liquidity Services's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Liquidity Services's Quick Ratio falls into.
Liquidity Services Quick Ratio Calculation
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.
Liquidity Services's Quick Ratio for the fiscal year that ended in Sep. 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.
Liquidity Services (NAS:LQDT) 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.
Liquidity Services Quick Ratio Related Terms
Thank you for viewing the detailed overview of Liquidity Services's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Liquidity Services (Liquidity Services) Business Description
Liquidity Services Inc is an online auction marketplace. It manages and sells inventory and equipment for business and government clients by operating a network of e-commerce marketplaces that enable buyers and sellers to transact in an efficient, automated environment offering across different product categories. The company has four reportable segments: GovDeals, Capital Assets Group (CAG), Retail Supply Chain Group (RSCG), and Machinio. It generates majority of its revenue from Retail Supply Chain Group (RSCG) segment which consists of marketplaces that enable corporations located in the United States and Canada to sell excess, returned, and overstocked consumer goods. Geographically, a substantial portion the company's revenue is generated from its business in United States.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
LQDT has been successfully added to your 