GBXI (GBX International Group) Cash Conversion Cycle: 101.41 (As of Jan. 2012)

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What is GBX International Group Cash Conversion Cycle?

GBX International Group GBXI Cash Conversion Cycle is 101.41 as of Jan. 2012.

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

GBX International Group's Days Sales Outstanding for the three months ended in Jan. 2012 was 88.97.
GBX International Group's Days Inventory for the three months ended in Jan. 2012 was 18.43.
GBX International Group's Days Payable for the three months ended in Jan. 2012 was 5.99.
Therefore, GBX International Group's Cash Conversion Cycle (CCC) for the three months ended in Jan. 2012 was 101.41.


GBX International Group  (OTCPK:GBXI) 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.


GBX International Group Cash Conversion Cycle Related Terms


GBX International Group Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for GBX International Group's Cash Conversion Cycle 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.

GBX International Group Cash Conversion Cycle Chart

GBX International Group Annual Data
Trend Apr03 Apr04 Apr05 Apr06 Apr07 Apr08 Apr09 Apr10 Apr11
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only 0.00 21.26 17.80 19.01 37.63

GBX International Group Quarterly Data
Apr07 Jul07 Oct07 Jan08 Apr08 Jul08 Oct08 Jan09 Apr09 Jul09 Oct09 Jan10 Apr10 Jul10 Oct10 Jan11 Apr11 Jul11 Oct11 Jan12
Cash Conversion Cycle 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 70.19 86.82 88.49 73.57 101.41

GBXI vs RLTR, TGHI: Cash Conversion Cycle Comparison

For the Advertising Agencies subindustry, GBX International Group'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.


GBX International Group Cash Conversion Cycle vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, GBX International Group's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where GBX International Group's Cash Conversion Cycle falls into.



GBX International Group 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.

GBX International Group's Cash Conversion Cycle for the fiscal year that ended in Apr. 2011 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=30.03+7.6-0
=37.63

GBX International Group's Cash Conversion Cycle for the quarter that ended in Jan. 2012 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=88.97+18.43-5.99
=101.41

* 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.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of 101.41 mean?
GBX International Group (GBXI) has a Cash Conversion Cycle of 101.41 as of Jan. 2012. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on GBX International Group and its competitors.
Is GBX International Group's Cash Conversion Cycle too high?
GBX International Group's current Cash Conversion Cycle is 101.41. The Media - Diversified industry median Cash Conversion Cycle is 19.57. GBX International Group's value of 101.41 is 418.2% above this industry median.
How does GBX International Group's Cash Conversion Cycle compare to RLTR and TGHI?
GBX International Group's Cash Conversion Cycle of 101.41 can be compared against companies in the Media - Diversified industry. The industry median Cash Conversion Cycle is 19.57. GBX International Group's value of 101.41 is 418.2% above this benchmark. 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 Media - Diversified company?
The median Cash Conversion Cycle among Media - Diversified companies is 19.57, based on 1,005 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. GBX International Group's current Cash Conversion Cycle of 101.41 is 418.2% above the industry median. 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 GBX International Group and its competitors. For the Media - Diversified industry, the median Cash Conversion Cycle is 19.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. GBX International Group's current Cash Conversion Cycle is 101.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is GBX International Group stock overvalued right now?
GBX International Group (GBXI) has a current Cash Conversion Cycle of 101.41. The current Cash Conversion Cycle is 101.41 and 418.2% above the Media - Diversified industry median of 19.57. 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 GBX International Group (GBXI), the current Cash Conversion Cycle is 101.41 as of Jan. 2012. 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.

GBX International Group Business Description

Address 2901 West Coast Highway, Suite 200, Newport Beach, CA, USA, 92663
GBX International Group Inc is a marketing and customer acquisition company. It provides local merchants, entrepreneurs, and charities with a unique marketing and advertising system that includes online tools, marketing materials and expertise that can help merchants and charities increase their customer bases, develop more repeat customers and expand their buying and giving communities. The company also offers local merchants discounted credit and debit card processing services provided by third party processors and earns income on ongoing transactions occurring at those locations.