Rent the Runway (Rent the Runway) Quick Ratio : 2.12 (As of Jan. 2024)

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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. Rent the Runway's quick ratio for the quarter that ended in Jan. 2024 was 2.12.

Rent the Runway has a quick ratio of 2.12. It generally indicates good short-term financial strength.

The historical rank and industry rank for Rent the Runway's Quick Ratio or its related term are showing as below:

RENT' s Quick Ratio Range Over the Past 10 Years
Min: 0.91 Med: 2.55 Max: 3.85
Current: 2.12

During the past 5 years, Rent the Runway's highest Quick Ratio was 3.85. The lowest was 0.91. And the median was 2.55.

RENT's Quick Ratio is ranked better than
84.44% of 1118 companies
in the Retail - Cyclical industry
Industry Median: 0.865 vs RENT: 2.12

Rent the Runway Quick Ratio Historical Data

The historical data trend for Rent the Runway'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.

* Premium members only.

Rent the Runway Annual Data

Trend

Jan20

Jan21

Jan22

Jan23

Jan24

Quick Ratio

0.91

2.55

3.85

2.87

2.12

Rent the Runway Quarterly Data
	Jan20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24
Quick Ratio	Get a 7-Day Free Trial											2.87	2.43	2.58	1.85	2.12

Competitive Comparison

For the Apparel Retail subindustry, Rent the Runway'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.

Rent the Runway Quick Ratio Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Rent the Runway's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Rent the Runway's Quick Ratio falls into.

Rent the Runway 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.

Rent the Runway's Quick Ratio for the fiscal year that ended in Jan. 2024 is calculated as

Quick Ratio (A: Jan. 2024 )	=	(Total Current Assets	-	Total Inventories)	/	Total Current Liabilities
	=	(102.2	-	0)	/	48.1
	=	2.12

Rent the Runway's Quick Ratio for the quarter that ended in Jan. 2024 is calculated as

Quick Ratio (Q: Jan. 2024 )	=	(Total Current Assets	-	Total Inventories)	/	Total Current Liabilities
	=	(102.2	-	0)	/	48.1
	=	2.12

Rent the Runway (NAS:RENT) 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.

Rent the Runway Quick Ratio Related Terms

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Rent the Runway (Rent the Runway) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Rent the Runway Inc (NAS:RENT) » Definitions » Quick Ratio

Comparable Companies

Traded in Other Exchanges

N/A

Address

10 Jay Street, Brooklyn, NY, USA, 11201

Website

https://www.renttherunway.com

Rent the Runway Inc is an e-commerce platform that allows users to rent, subscribe, or buy designer apparel and accessories.

Executives

Jennifer Hyman	director, 10 percent owner, officer: Chief Executive Officer	767 FIFTH AVENUE, C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Cara Schembri	officer: GC & Secretary	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Brian Donato	officer: Chief Supply Chain Officer	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Siddharth Thacker	officer: Chief Financial Officer	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Andrew Rau	officer: SVP, Supply Chain & Inventory	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Sarah K Tam	officer: Chief Merchant Officer	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Anushka Salinas	officer: President & COO	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Becky Case	officer: SVP, Engineering	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Larry Steinberg	officer: Chief Technology Officer	1000 WINDWARD CONCOURSE, SUITE 250, ALPHARETTA GA 30005
Emil Michael	director	C/O DPCM CAPITAL, INC., 382 NE 191 STREET, # 24148, MIAMI FL 33179
Scarlett O'sullivan	officer: Chief Financial Officer	225 WEST WASHINGTON STREET, INDIANAPOLIS IN 46204
Andrea Alexander	officer: Chief People Officer	C/O RENT THE RUNWAY, INC., 10 JAY STREET, BROOKLYN NY 11201
Carley Roney	director	C/O XO GROUP INC., 195 BROADWAY, 25TH FLOOR, NEW YORK NY 10007
Beth J Kaplan	director	1716 LOCUST STREET, DES MOINES IA 50309
Timothy E Bixby	director	C/O SHUTTERSTOCK, 350 FIFTH AVENUE, 21ST FLOOR, NEW YORK NY 10118