Relay Therapeutics has a Cash Ratio of 20.18. 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 Relay Therapeutics's Cash Ratio or its related term are showing as below:
RLAY'
s Cash Ratio Range Over the Past 10 Years
Min: 12.18 Med: 24.46 Max: 61.4
Current: 20.18
During the past 6 years, Relay Therapeutics's highest Cash Ratio was 61.40. The lowest was 12.18. And the median was 24.46.
RLAY's Cash Ratio is ranked better than 96.19% of 1523
companies
in the Biotechnology industry
Industry Median: 2.9
vs RLAY: 20.18
Relay Therapeutics Cash Ratio Historical Data
The historical data trend for Relay Therapeutics'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 Relay Therapeutics's Cash Ratio
For the Biotechnology subindustry, Relay Therapeutics'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.
Relay Therapeutics's Cash Ratio Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Relay Therapeutics's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Relay Therapeutics's Cash Ratio falls into.
Relay Therapeutics Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Relay Therapeutics'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.
Relay Therapeutics (NAS:RLAY) 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.
Relay Therapeutics Cash Ratio Related Terms
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Relay Therapeutics (Relay Therapeutics) Business Description
Relay Therapeutics Inc is a clinical-stage precision medicine company transforming the drug discovery process by combining leading-edge computational and experimental technologies with the goal of bringing life-changing therapies to patients. the Dynamo platform integrates an array of leading-edge computational and experimental approaches designed to drug-protein targets that have previously been intractable or inadequately addressed. The company is advancing a pipeline of medicine candidates to address targets in precision oncology and genetic disease, including product candidates, RLY-4008, RLY-2608, and GDC-1971 (formerly known as RLY-1971).
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