American Education Center's Days Sales Outstanding for the
three
months ended in Jun. 2021 was 149.71.
American Education Center's Days Inventory for the
three
months ended in Jun. 2021 was 0.
American Education Center's Days Payable for the
three
months ended in Jun. 2021 was 21700.91.
Therefore, American Education Center's Cash Conversion Cycle (CCC) for the
three
months ended in Jun. 2021 was -21,551.20.
American Education Center (OTCPK:AMCT) Cash Conversion Cycle Explanation
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
American Education Center Cash Conversion Cycle Related Terms
American Education Center Cash Conversion Cycle Historical Data
* 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.
American Education Center Cash Conversion Cycle Chart
AMCT vs MSYN, QPRC, AMMJ: Cash Conversion Cycle Comparison
For the Consulting Services subindustry, American Education Center's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle 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.
American Education Center Cash Conversion Cycle vs Business Services Industry
For the Business Services industry and Industrials sector, American Education Center's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where American Education Center's Cash Conversion Cycle falls into.
American Education Center Cash Conversion Cycle Calculation
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
American Education Center's Cash Conversion Cycle for the fiscal year that ended in Dec. 2020 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.
What does a Cash Conversion Cycle of -21,551.20 mean?
American Education Center (AMCT) has a Cash Conversion Cycle of -21,551.20 as of Jun. 2021. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on American Education Center and its competitors.
Is American Education Center's Cash Conversion Cycle too high?
American Education Center's current Cash Conversion Cycle is -21,551.20.
How does American Education Center's Cash Conversion Cycle compare to MSYN and QPRC?
American Education Center's Cash Conversion Cycle of -21,551.20 can be compared against companies in the Business Services industry. The industry median Cash Conversion Cycle is 38.74. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Business Services company?
The median Cash Conversion Cycle among Business Services companies is 38.74, based on 1,069 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on American Education Center and its competitors. For the Business Services industry, the median Cash Conversion Cycle is 38.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Education Center's current Cash Conversion Cycle is -21,551.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Education Center stock overvalued right now?
American Education Center (AMCT) has a current Cash Conversion Cycle of -21,551.20. The current Cash Conversion Cycle is -21,551.20. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For American Education Center (AMCT), the current Cash Conversion Cycle is -21,551.20 as of Jun. 2021. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
American Education Center Inc is a United States-based company engaged in the provision of consulting services. Its Consulting services include Placement Advisory Services, Career Advisory Services, Student & Family Advisory Services, and Other Advisory Services. The company operates in two segments: the AEC New York segment and the AEC BVI segment. The majority of the revenue is generated from the AEC New York segment, which caters to middle-class families in China for quality education and work experiences in the United States and delivers customized high school and college placement and career advisory services to Chinese students wishing to study in the USA.
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