GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Marketing Worldwide Corp (OTCPK:MWWC) » Definitions » Current Ratio

Marketing Worldwide (Marketing Worldwide) Current Ratio : 0.05 (As of Mar. 2013)


View and export this data going back to 2006. Start your Free Trial

What is Marketing Worldwide Current Ratio?

The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Marketing Worldwide's current ratio for the quarter that ended in Mar. 2013 was 0.05.

Marketing Worldwide has a current ratio of 0.05. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Marketing Worldwide has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.

The historical rank and industry rank for Marketing Worldwide's Current Ratio or its related term are showing as below:

MWWC's Current Ratio is not ranked *
in the Media - Diversified industry.
Industry Median: 1.63
* Ranked among companies with meaningful Current Ratio only.

Marketing Worldwide Current Ratio Historical Data

The historical data trend for Marketing Worldwide's Current 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.

* Premium members only.

Marketing Worldwide Current Ratio Chart

Marketing Worldwide Annual Data
Trend Sep04 Sep05 Sep06 Sep07 Sep08 Sep09 Sep10 Sep11
Current Ratio
Get a 7-Day Free Trial 1.15 1.05 0.38 0.10 0.07

Marketing Worldwide Quarterly Data
Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13
Current Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.06 0.04 0.06 0.05 0.05

Competitive Comparison of Marketing Worldwide's Current Ratio

For the Entertainment subindustry, Marketing Worldwide's Current Ratio, along with its competitors' market caps and Current 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.


Marketing Worldwide's Current Ratio Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Marketing Worldwide's Current Ratio distribution charts can be found below:

* The bar in red indicates where Marketing Worldwide's Current Ratio falls into.



Marketing Worldwide Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Marketing Worldwide's Current Ratio for the fiscal year that ended in Sep. 2011 is calculated as

Current Ratio (A: Sep. 2011 )=Total Current Assets (A: Sep. 2011 )/Total Current Liabilities (A: Sep. 2011 )
=0.3/4.374
=0.07

Marketing Worldwide's Current Ratio for the quarter that ended in Mar. 2013 is calculated as

Current Ratio (Q: Mar. 2013 )=Total Current Assets (Q: Mar. 2013 )/Total Current Liabilities (Q: Mar. 2013 )
=0.284/5.544
=0.05

* 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.


Marketing Worldwide  (OTCPK:MWWC) Current Ratio Explanation

The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.

Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.

The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.

If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.


Marketing Worldwide Current Ratio Related Terms

Thank you for viewing the detailed overview of Marketing Worldwide's Current Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Marketing Worldwide (Marketing Worldwide) Business Description

Traded in Other Exchanges
N/A
Address
16730 Creek Bend Drive, Sugar Land, TX, USA, 77478
Marketing Worldwide Corp through its wholly-owned subsidiary, Marketing Worldwide LLC, is engaged in the design, import and distribution of automotive accessories for motor vehicles in the automotive aftermarket industry. The Company intends to expand as an acquisition incubator, purchasing companies and patents built by passionate visionaries.