* 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 Clayton Williams Energy's Quick Ratio
For the Oil & Gas E&P subindustry, Clayton Williams Energy'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.
Clayton Williams Energy's Quick Ratio Distribution in the Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Clayton Williams Energy's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Clayton Williams Energy's Quick Ratio falls into.
Clayton Williams Energy 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.
Clayton Williams Energy's Quick Ratio for the fiscal year that ended in Dec. 2016 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.
Clayton Williams Energy (NYSE:CWEI) 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.
Clayton Williams Energy Quick Ratio Related Terms
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Clayton Williams Energy (Clayton Williams Energy) Business Description
Clayton Williams Energy Inc is an independent oil and gas company that is engaged in the exploration for and production of oil and natural gas primarily in its core area in Southern Reeves County, Texas. it has holdings in the United States, the Wolfcamp Shale in the Southern Delaware Basin of West Texas.
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