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Loop IndustriesLOOP -4.58%25 Cash Ratio is 0.34 as of May. 2026, which is 89% below its 10-year median of 2.97. GuruFocus rates LOOP with a GF Score™ of 25/100 and a GF Value™ of $5.76 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,580 Chemicals companies, Loop Industries ranks worse than 61.46% on this metric.
Loop Industries has a Cash Ratio of 0.34. 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 Loop Industries's Cash Ratio or its related term are showing as below:
LOOP'
s Cash Ratio Range Over the Past 10 Years
Min: 0.04 Med: 2.97 Max: 18.82
Current: 0.34
During the past 13 years, Loop Industries's highest Cash Ratio was 18.82. The lowest was 0.04. And the median was 2.97.
LOOP's Cash Ratio is ranked worse than 61.46% of 1580
companies
in the Chemicals industry
Industry Median: 0.5
vs LOOP: 0.34
Loop Industries (NAS:LOOP) 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.
Loop Industries Cash Ratio Related Terms
Loop Industries Cash Ratio Historical Data
* Premium members only.
The historical data trend for Loop Industries'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.
For the Specialty Chemicals subindustry, Loop Industries'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.
Loop Industries Cash Ratio vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Loop Industries's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Loop Industries's Cash Ratio falls into.
* 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.
Loop Industries (LOOP) has a Cash Ratio of 0.34 as of May. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Loop Industries and its competitors. This is 89% below median its historical median of 2.97. Over the past decade, Loop Industries' Cash Ratio has ranged from 0.04 to 18.82. According to the industry distribution chart, Loop Industries ranks #971 out of 1580 companies in the Chemicals industry, placing it in the top 61.5%.
Is Loop Industries' Cash Ratio too high?
Loop Industries' current Cash Ratio of 0.34 is 89% below median its 10-year median of 2.97. Over the past 10 years, this metric has ranged from a low of 0.04 to a high of 18.82. The Chemicals industry median Cash Ratio is 0.50. Loop Industries' value of 0.34 is 32% below this industry median. Based on the distribution chart, Loop Industries ranks #971 out of 1580 companies in the Chemicals industry, which is below the industry midpoint. Overall, Loop Industries has a GF Score™ of 25/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Loop Industries' Cash Ratio compare to BIOF and FEAM?
According to the Chemicals industry distribution chart, Loop Industries ranks #971 out of 1580 companies for Cash Ratio. This places Loop Industries in the lower half of its industry. The industry median Cash Ratio is 0.50. Loop Industries' value of 0.34 is 32% below this benchmark. Historically, Loop Industries' own Cash Ratio has ranged from 0.04 to 18.82 over the past decade. While the company's 10-year median is 2.97 vs. the industry median of 0.50, Loop Industries has consistently been below the industry average. 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 Chemicals company?
The median Cash Ratio among Chemicals companies is 0.50, based on 1,580 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. Loop Industries's current Cash Ratio of 0.34 is 32% 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 Loop Industries and its competitors. For the Chemicals industry, the median Cash Ratio is 0.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Loop Industries's current Cash Ratio is 0.34, which is 89% below median its own 10-year median of 2.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Loop Industries stock overvalued right now?
Based on GuruFocus' analysis, Loop Industries (LOOP) is currently considered Possible Value Trap. The stock's GF Value™ is $5.76, compared to a current price of $0.75 — trading 87% below its estimated fair value. The current Cash Ratio is 0.34, which is 89% below median its 10-year median of 2.97 and 32% below the Chemicals industry median of 0.50. Loop Industries' overall GF Score™ is 25/100 with 4 warning signs to review. 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 Loop Industries (LOOP), the current Cash Ratio is 0.34 as of May. 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 Loop Industries (LOOP) Overvalued in 2026?
Based on GuruFocus' analysis, Loop Industries stock appears to be undervalued.
The current stock price of $0.75 is trading 87% below its estimated GF Value™ of $5.76.
GuruFocus considers Loop Industries to be Possible Value Trap.
Key valuation signals for LOOP:
Cash Ratio: 0.34 (89% below median its 10-year median of 2.97)
GF Value™: $5.76 vs. price of $0.75 (87% below fair value)
Industry Position: 32% below the Chemicals median (#971 of 1580)
No single metric tells the full story. See the LOOP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Loop Industries Inc is a technology company whose mission is to accelerate the world's shift toward sustainable PET plastic and polyester fiber and away from dependence on fossil fuels. Loop Industries owns patented and proprietary technology that depolymerizes no and low-value waste PET plastic and polyester fiber, including plastic bottles, packaging, and textiles such as carpets and clothing, into its base building block monomers, DMT and MEG.
25GF Score
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