GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Manufacturing - Apparel & Accessories » Tumi Holdings Inc (NYSE:TUMI) » Definitions » Quick Ratio

Tumi Holdings (Tumi Holdings) Quick Ratio : 1.96 (As of Jun. 2016)


View and export this data going back to 2012. Start your Free Trial

What is Tumi Holdings Quick Ratio?

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. Tumi Holdings's quick ratio for the quarter that ended in Jun. 2016 was 1.96.

Tumi Holdings has a quick ratio of 1.96. It generally indicates good short-term financial strength.

The historical rank and industry rank for Tumi Holdings's Quick Ratio or its related term are showing as below:

TUMI's Quick Ratio is not ranked *
in the Manufacturing - Apparel & Accessories industry.
Industry Median: 1.025
* Ranked among companies with meaningful Quick Ratio only.

Tumi Holdings Quick Ratio Historical Data

The historical data trend for Tumi Holdings'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.

Tumi Holdings Quick Ratio Chart

Tumi Holdings Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Quick Ratio
Get a 7-Day Free Trial 0.92 1.18 1.16 1.35 1.90

Tumi Holdings Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.69 1.64 1.90 1.87 1.96

Competitive Comparison of Tumi Holdings's Quick Ratio

For the Footwear & Accessories subindustry, Tumi Holdings'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.


Tumi Holdings's Quick Ratio Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Tumi Holdings's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Tumi Holdings's Quick Ratio falls into.



Tumi Holdings 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.

Tumi Holdings's Quick Ratio for the fiscal year that ended in Dec. 2015 is calculated as

Quick Ratio (A: Dec. 2015 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(243.389-99.688)/75.589
=1.90

Tumi Holdings's Quick Ratio for the quarter that ended in Jun. 2016 is calculated as

Quick Ratio (Q: Jun. 2016 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(277.847-113.907)/83.69
=1.96

* 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.


Tumi Holdings  (NYSE:TUMI) 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.


Tumi Holdings Quick Ratio Related Terms

Thank you for viewing the detailed overview of Tumi Holdings's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Tumi Holdings (Tumi Holdings) Business Description

Traded in Other Exchanges
N/A
Address
Tumi Holdings Inc was incorporated in September 2004 in Delaware in connection with the acquisition. In 2004, Company was acquired by Doughty Hanson. Company is a designer, producer and marketer of a comprehensive line of travel and business products and accessories in multiple categories. The Company's product offerings include travel bags, business cases, totes, handbags, business and travel accessories and small leather goods. It design and market its products to, sophisticated professionals, frequent travelers and brand-conscious individuals. Company have significant and loyal consumer base with its typical consumer owning multiple Tumi products. As of December 31, 2013, Company distributed its products in over 75 countries through approximately 1,900 points of distribution. It utilizes multiple channels, including retail, wholesale and e-commerce. Its retail stores represent its core approach to brand-enhancing distribution, with locations in premium retail venues throughout the world including New York, Beverly Hills, San Francisco, Chicago, Paris, London, Rome, Tokyo, Munich, Moscow, Milan and Barcelona. In April 2012, the Company completed its IPO. Company evaluates its operating performance based on net sales and operating income in four operating segments: Direct-to-Consumer North America; Indirect-to-Consumer North America; Direct-to-Consumer International; and Indirect-to-Consumer International. In Direct-to-Consumer North America, Company sold its products directly to consumers through a network of 114 company-owned retail stores consisting of full-price stores and outlet stores strategically positioned in high-end retail malls or street venues and also through its e-commerce website. Indirect-to-Consumer North America, it sold to wholesale customers in North America through approximately 800 doors, including specialty luggage retailers, prestige department stores and business-to-business channels. Direct-to-Consumer International, it sold directly to consumers through a network of 16 company-owned full-price and outlet stores in high-end street venues and select malls in international locations. Indirect-to-Consumer International, it sold its products to international wholesale customers through approximately 1,000 doors, approximately 55% of which are in the EMEA region, 40% of which are in the Asia-Pacific region, and 5% of which are in Central and South America. Raw materials include, among others, ballistic nylon fabric, plastic injected molded parts, nylon and stainless steel zipper systems, aluminum handle tubing systems, leather, polycarbonate sheeting materials, high quality waxed linen, high quality textiles and other high tensile strength materials used in the construction of its products. Company's competitors include, Rimowa, Bally, Burberry, Dunhill, Ferragamo, Gucci, Louis Vuitton, Montblanc, Porsche, among others. Company's proprietary designs are protected by over 200 design or mechanical patents. Ma
Executives
Alex Smith director PIER 1 IMPORTS, INC, 100 PIER 1 PLACE, FORT WORTH TX 76102
Peter L Gray officer: EVP and General Counsel C/O TUMI HOLDINGS INC, 1001 DURHAM AVE, SOUTH PLAINFIELD NJ 07080
Jerome Griffith director, officer: CEO and President C/O TUMI, INC., 1001 DURHAM AVENUE, SOUTH PLAINFIELD NJ 07080
Michael J Mardy director, officer: CFO and EVP
David Riley officer: CAO and SVP, Finance 1100 WINTER STREET, SUITE 4600, WALTHAM MA 02451
Thomas H Johnson director 9201 FOREST HILL AVENUE, RICHMOND VA 23235
Joseph R Gromek director C/O GUESS?, INC., 1444 SOUTH ALAMEDA STREET, LOS ANGELES CA 90021

Tumi Holdings (Tumi Holdings) Headlines

From GuruFocus

Baron Funds Comments on Tumi Holdings

By Holly LaFon Holly LaFon 08-23-2012

Baron Funds Comments on Tumi Holdings Inc.

By Holly LaFon Holly LaFon 11-21-2013

Why Tumi Holdings is Worth a Buy

By Sangita Khatri Sangita Khatri 05-27-2015