BUSC (Blue Star Global) Cash Ratio: 1.94 (As of Aug. 2009)

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What is Blue Star Global Cash Ratio?

Blue Star Global BUSC -95.00% Cash Ratio is 1.94 as of Aug. 2009.

The Cash Ratio measures a company’s ability to meet its short-term obligations with cash and near-cash resources. It is calculated as a company's Cash, Cash Equivalents, Marketable Securities divides by its Total Current Liabilities. Blue Star Global's Cash Ratio for the quarter that ended in Aug. 2009 was 1.94.

Blue Star Global has a Cash Ratio of 1.94. It generally indicates that the company is able to cover all short-term debt and still have cash remaining.

The historical rank and industry rank for Blue Star Global's Cash Ratio or its related term are showing as below:

BUSC's Cash Ratio is not ranked *
in the Diversified Financial Services industry.
Industry Median: 2.74
* Ranked among companies with meaningful Cash Ratio only.

Blue Star Global  (OTCPK:BUSC) Cash Ratio Explanation

The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.

The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.

In general, the higher the cash ratio, the better the company's liquidity position.

Blue Star Global Cash Ratio Related Terms

Blue Star Global Cash Ratio Historical Data

* Premium members only.

The historical data trend for Blue Star Global's Cash 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.

Blue Star Global Cash Ratio Chart

Blue Star Global Annual Data
Trend Feb06 Feb07 Feb08 Feb09
Cash Ratio
0.00 1.59 3.89 7.02

Blue Star Global Quarterly Data
Feb06 May06 Aug06 Nov06 Feb07 May07 Aug07 Nov07 Feb08 May08 Aug08 Nov08 Feb09 May09 Aug09
Cash 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 2.22 8.77 7.02 6.59 1.94

Blue Star Global Cash Ratio Competitor Comparison

For the Shell Companies subindustry, Blue Star Global's Cash Ratio, along with its competitors' market caps and Cash 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.

Blue Star Global Cash Ratio vs Diversified Financial Services Industry

For the Diversified Financial Services industry and Financial Services sector, Blue Star Global's Cash Ratio distribution charts can be found below:

* The bar in red indicates where Blue Star Global's Cash Ratio falls into.


Blue Star Global Cash Ratio Calculation

The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.

Blue Star Global's Cash Ratio for the fiscal year that ended in Feb. 2009 is calculated as:

Cash Ratio (A: Feb. 2009 )=Cash, Cash Equivalents, Marketable Securities/Total Current Liabilities
=0.892/0.127
=7.02

Blue Star Global's Cash Ratio for the quarter that ended in Aug. 2009 is calculated as:

Cash Ratio (Q: Aug. 2009 )=Cash, Cash Equivalents, Marketable Securities/Total Current Liabilities
=0.184/0.095
=1.94

* 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 Ratio →
What does a Cash Ratio of 1.94 mean?
Blue Star Global (BUSC) has a Cash Ratio of 1.94 as of Aug. 2009. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Blue Star Global and its competitors.
Is Blue Star Global's Cash Ratio too high?
Blue Star Global's current Cash Ratio is 1.94. The Diversified Financial Services industry median Cash Ratio is 2.74. Blue Star Global's value of 1.94 is 29.2% below this industry median.
How does Blue Star Global's Cash Ratio compare to competitors?
Blue Star Global's Cash Ratio of 1.94 can be compared against companies in the Diversified Financial Services industry. The industry median Cash Ratio is 2.74. Blue Star Global's value of 1.94 is 29.2% below 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 Ratio for a Diversified Financial Services company?
The median Cash Ratio among Diversified Financial Services companies is 2.74, based on 454 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Blue Star Global's current Cash Ratio of 1.94 is 29.2% below 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 Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Blue Star Global and its competitors. For the Diversified Financial Services industry, the median Cash Ratio is 2.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Blue Star Global's current Cash Ratio is 1.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Blue Star Global stock overvalued right now?
Blue Star Global (BUSC) has a current Cash Ratio of 1.94. The current Cash Ratio is 1.94 and 29.2% below the Diversified Financial Services industry median of 2.74. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Blue Star Global (BUSC), the current Cash Ratio is 1.94 as of Aug. 2009. 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.

Blue Star Global Business Description

Address Sea Meadow House, P.O. Box 116, Road Town, Tortola, VGB, VG1110
Blue Star Global Inc currently does not offer any products or services.