Natural Gas Services Group's Days Sales Outstanding for the
three
months ended in Mar. 2026 was 39.02.
Natural Gas Services Group's Days Inventory for the
three
months ended in Mar. 2026 was 67.82.
Natural Gas Services Group's Days Payable for the
three
months ended in Mar. 2026 was 40.81.
Therefore, Natural Gas Services Group's Cash Conversion Cycle (CCC) for the
three
months ended in Mar. 2026 was 66.03.
Natural Gas Services Group (NYSE:NGS) 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.
Natural Gas Services Group Cash Conversion Cycle Related Terms
Natural Gas Services Group 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.
Natural Gas Services Group Cash Conversion Cycle Chart
NGS vs OIS, FET, EROK: Cash Conversion Cycle Comparison
For the Oil & Gas Equipment & Services subindustry, Natural Gas Services 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.
Natural Gas Services Group Cash Conversion Cycle vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Natural Gas Services Group's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Natural Gas Services Group's Cash Conversion Cycle falls into.
Natural Gas Services 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.
Natural Gas Services Group's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 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.
Natural Gas Services Group (NGS) has a Cash Conversion Cycle of 66.03 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Natural Gas Services Group and its competitors.
Is Natural Gas Services Group's Cash Conversion Cycle too high?
Natural Gas Services Group's current Cash Conversion Cycle is 66.03. The Oil & Gas industry median Cash Conversion Cycle is 18.48. Natural Gas Services Group's value of 66.03 is 257.3% above this industry median. Overall, Natural Gas Services Group has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Natural Gas Services Group's Cash Conversion Cycle compare to OIS and FET?
Natural Gas Services Group's Cash Conversion Cycle of 66.03 can be compared against companies in the Oil & Gas industry. The industry median Cash Conversion Cycle is 18.48. Natural Gas Services Group's value of 66.03 is 257.3% 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 an Oil & Gas company?
The median Cash Conversion Cycle among Oil & Gas companies is 18.48, based on 915 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. Natural Gas Services Group's current Cash Conversion Cycle of 66.03 is 257.3% 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 Natural Gas Services Group and its competitors. For the Oil & Gas industry, the median Cash Conversion Cycle is 18.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Natural Gas Services Group's current Cash Conversion Cycle is 66.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Natural Gas Services Group stock overvalued right now?
Based on GuruFocus' analysis, Natural Gas Services Group (NGS) is currently considered Significantly Overvalued. The stock's GF Value™ is $28.26, compared to a current price of $43.99 — trading 55.7% above its estimated fair value. The current Cash Conversion Cycle is 66.03 and 257.3% above the Oil & Gas industry median of 18.48. Natural Gas Services Group's overall GF Score™ is 78/100 with 8 warning signs to review. 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 Natural Gas Services Group (NGS), the current Cash Conversion Cycle is 66.03 as of Mar. 2026. 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.
Is Natural Gas Services Group (NGS) Overvalued in 2026?
Based on GuruFocus' analysis, Natural Gas Services Group stock appears to be overvalued.
The current stock price of $43.99 is trading 55.7% above its estimated GF Value™ of $28.26.
GuruFocus considers Natural Gas Services Group to be Significantly Overvalued.
Key valuation signals for NGS:
Cash Conversion Cycle: 66.03
GF Value™: $28.26 vs. price of $43.99 (55.7% above fair value)
Industry Position: 257.3% above the Oil & Gas median
No single metric tells the full story. See the NGS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Natural Gas Services Group Inc provides natural gas compression equipment and services to the energy industry. The company manufactures, fabricates, rents, sells, and maintains natural gas compressors and flare systems for oil and natural gas production and plant facilities. Its operating units include Rental, Sales, and Aftermarket services. It operates in one reporting segment. The company generates the majority of its revenue by renting out low- to medium-horsepower compression equipment to natural gas production companies in unconventional oil and gas regions of the United States.
78GF Score
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