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Continental AG (Continental AG) Cash Ratio : 0.17 (As of Dec. 2023)


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What is Continental AG Cash Ratio?

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. Continental AG's Cash Ratio for the quarter that ended in Dec. 2023 was 0.17.

Continental AG has a Cash Ratio of 0.17. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.

The historical rank and industry rank for Continental AG's Cash Ratio or its related term are showing as below:

CTTAF' s Cash Ratio Range Over the Past 10 Years
Min: 0.11   Med: 0.16   Max: 0.36
Current: 0.17

During the past 13 years, Continental AG's highest Cash Ratio was 0.36. The lowest was 0.11. And the median was 0.16.

CTTAF's Cash Ratio is ranked worse than
70.58% of 1285 companies
in the Vehicles & Parts industry
Industry Median: 0.36 vs CTTAF: 0.17

Continental AG Cash Ratio Historical Data

The historical data trend for Continental AG'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.

* Premium members only.

Continental AG Cash Ratio Chart

Continental AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cash Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.18 0.19 0.16 0.15 0.17

Continental AG Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.15 0.14 0.15 0.15 0.17

Competitive Comparison of Continental AG's Cash Ratio

For the Auto Parts subindustry, Continental AG'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.


Continental AG's Cash Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Continental AG's Cash Ratio distribution charts can be found below:

* The bar in red indicates where Continental AG's Cash Ratio falls into.



Continental AG Cash Ratio Calculation

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

Continental AG's Cash Ratio for the fiscal year that ended in Dec. 2023 is calculated as:

Cash Ratio (A: Dec. 2023 )=Cash, Cash Equivalents, Marketable Securities/Total Current Liabilities
=2926.281/16848.746
=0.17

Continental AG's Cash Ratio for the quarter that ended in Dec. 2023 is calculated as:

Cash Ratio (Q: Dec. 2023 )=Cash, Cash Equivalents, Marketable Securities/Total Current Liabilities
=2926.281/16848.746
=0.17

* 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.


Continental AG  (OTCPK:CTTAF) 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.


Continental AG Cash Ratio Related Terms

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


Continental AG (Continental AG) Business Description

Address
Vahrenwalder Strasse 9, Hanover, NI, DEU, 30165
Continental is a global auto supplier and tiremaker. Operating segments include the automotive group (electrical architecture and networking, autonomous mobility, safety and motion, smart mobility, and user experience), tires, and ContiTech which uses rubber in industrial and automotive components and systems. Last year, automotive group revenue was around 48% of the total, tire was 35%, ContiTech was 16%, and contract manufacturing for Vitesco was 1%. Top five customers include Ford, Mercedes-Benz, the Renault-Nissan-Mitsubishi alliance, Stellantis, and Volkswagen, representing about 32% of total revenue. Europe, at 47% of total revenue, is the companies largest market, followed by North America at 27%, Asia (mostly China) at 22%, and 4% in other regions.

Continental AG (Continental AG) Headlines

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