Healthcare Services Group has a Cash Ratio of 0.68. 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 Healthcare Services Group's Cash Ratio or its related term are showing as below:
HCSG'
s Cash Ratio Range Over the Past 10 Years
Min: 0.45 Med: 0.77 Max: 1.63
Current: 0.68
During the past 13 years, Healthcare Services Group's highest Cash Ratio was 1.63. The lowest was 0.45. And the median was 0.77.
HCSG's Cash Ratio is ranked better than 58.22% of 651
companies
in the Healthcare Providers & Services industry
Industry Median: 0.51
vs HCSG: 0.68
Healthcare Services Group Cash Ratio 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.
Competitive Comparison of Healthcare Services Group's Cash Ratio
For the Medical Care Facilities subindustry, Healthcare Services Group'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.
Healthcare Services Group's Cash Ratio Distribution in the Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Healthcare Services Group's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Healthcare Services Group's Cash Ratio falls into.
Healthcare Services Group Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Healthcare Services Group's Cash Ratio for the fiscal year that ended in Dec. 2023 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.
Healthcare Services Group (NAS:HCSG) 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.
Healthcare Services Group Cash Ratio Related Terms
Thank you for viewing the detailed overview of Healthcare Services Group's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Healthcare Services Group (Healthcare Services Group) Business Description
Healthcare Services Group Inc is a provider of housekeeping and facility management services to the healthcare industry. The company operates two business segments, both contributing roughly equally to the company's revenue: Housekeeping, laundry, linen, and other services; and Dietary department services. Housekeeping includes management of clients' housekeeping departments, cleaning, disinfecting and sanitizing, laundry, bed linen, and uniform services. Dietary consists of food purchasing, meal preparation, and providing dietitian consulting services. Its clients are nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States of America.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HCSG has been successfully added to your 