MBG Holdings has a Cash Ratio of 0.07. 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 MBG Holdings's Cash Ratio or its related term are showing as below:
MBGH's Cash Ratio is not ranked *
in the Software industry.
Industry Median: 0.76 * Ranked among companies with meaningful Cash Ratio only.
MBG Holdings Cash Ratio Historical Data
The historical data trend for MBG Holdings'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.
Competitive Comparison of MBG Holdings's Cash Ratio
For the Information Technology Services subindustry, MBG Holdings'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.
MBG Holdings's Cash Ratio Distribution in the Software Industry
For the Software industry and Technology sector, MBG Holdings's Cash Ratio distribution charts can be found below:
* The bar in red indicates where MBG Holdings's Cash Ratio falls into.
MBG Holdings Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
MBG Holdings's Cash Ratio for the fiscal year that ended in Dec. 2021 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.
MBG Holdings (OTCPK:MBGH) 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.
MBG Holdings Cash Ratio Related Terms
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MBG Holdings Inc offers a solution for the complete IT and Network Lifecycle from deployment to decommissioning. It specializes in large-scale telecommunications, system, network planning and engineering, fire and life safety systems, low voltage cabling, electronic security, audiovisual, installation services, electronic waste recycling, and data destruction.
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