VirnetX Holding has a Cash Ratio of 42.70. 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 VirnetX Holding's Cash Ratio or its related term are showing as below:
VHC'
s Cash Ratio Range Over the Past 10 Years
Min: 1.02 Med: 4.25 Max: 207.97
Current: 42.7
During the past 13 years, VirnetX Holding's highest Cash Ratio was 207.97. The lowest was 1.02. And the median was 4.25.
VHC's Cash Ratio is ranked better than 99.93% of 2768
companies
in the Software industry
Industry Median: 0.775
vs VHC: 42.70
VirnetX Holding Cash Ratio Historical Data
The historical data trend for VirnetX Holding'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 VirnetX Holding's Cash Ratio
For the Software - Infrastructure subindustry, VirnetX Holding'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.
VirnetX Holding's Cash Ratio Distribution in the Software Industry
For the Software industry and Technology sector, VirnetX Holding's Cash Ratio distribution charts can be found below:
* The bar in red indicates where VirnetX Holding's Cash Ratio falls into.
VirnetX Holding Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
VirnetX Holding'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.
VirnetX Holding (NYSE:VHC) 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.
VirnetX Holding Cash Ratio Related Terms
Thank you for viewing the detailed overview of VirnetX Holding's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
VirnetX Holding (VirnetX Holding) Business Description
VirnetX Holding Corp is engaged in the business of commercializing a portfolio of patents. It is an Internet security software and technology company with patented technology for secure communications including 4G LTE security. The company GABRIEL connection technology, are designed to facilitate secure communications and provide the security platform required by next-generation Internet-based applications such as instant messaging, voice over Internet protocol, mobile services, streaming video, file transfer, remote desktop, and Machine-to-Machine communications. The firm sells its products in various market segments, including, healthcare, finance, and government.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
VHC has been successfully added to your 