ZDEC (Zenovia Digital Exchange) Current Ratio: 1.72 (As of Mar. 2015)


What is Zenovia Digital Exchange Current Ratio?

Zenovia Digital Exchange ZDEC Current Ratio is 1.72 as of Mar. 2015.

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. Zenovia Digital Exchange's current ratio for the quarter that ended in Mar. 2015 was 1.72.

Zenovia Digital Exchange has a current ratio of 1.72. It generally indicates good short-term financial strength.

The historical rank and industry rank for Zenovia Digital Exchange's Current Ratio or its related term are showing as below:

ZDEC's Current Ratio is not ranked *
in the Software industry.
Industry Median: 1.815
* Ranked among companies with meaningful Current Ratio only.

Zenovia Digital Exchange  (OTCPK:ZDEC) 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.

Zenovia Digital Exchange Current Ratio Related Terms

Zenovia Digital Exchange Current Ratio Historical Data

* Premium members only.

The historical data trend for Zenovia Digital Exchange'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.

Zenovia Digital Exchange Current Ratio Chart

Zenovia Digital Exchange Annual Data
Trend Dec12 Dec13 Dec14
Current Ratio
0.10 0.21 0.27

Zenovia Digital Exchange Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15
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 0.21 0.29 0.33 0.27 1.72

ZDEC vs EPXY, STTH, ZIMCF: Current Ratio Comparison

For the Software - Application subindustry, Zenovia Digital Exchange'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.

Zenovia Digital Exchange Current Ratio vs Software Industry

For the Software industry and Technology sector, Zenovia Digital Exchange's Current Ratio distribution charts can be found below:

* The bar in red indicates where Zenovia Digital Exchange's Current Ratio falls into.


Zenovia Digital Exchange 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.

Zenovia Digital Exchange's Current Ratio for the fiscal year that ended in Dec. 2014 is calculated as

Current Ratio (A: Dec. 2014 )=Total Current Assets (A: Dec. 2014 )/Total Current Liabilities (A: Dec. 2014 )
=0.055/0.206
=0.27

Zenovia Digital Exchange's Current Ratio for the quarter that ended in Mar. 2015 is calculated as

Current Ratio (Q: Mar. 2015 )=Total Current Assets (Q: Mar. 2015 )/Total Current Liabilities (Q: Mar. 2015 )
=0.362/0.21
=1.72

* 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.

Frequently Asked Questions Learn more about Current Ratio →
What does a Current Ratio of 1.72 mean?
Zenovia Digital Exchange (ZDEC) has a Current Ratio of 1.72 as of Mar. 2015.
Is Zenovia Digital Exchange's Current Ratio too high?
Zenovia Digital Exchange's current Current Ratio is 1.72. The Software industry median Current Ratio is 1.82. Zenovia Digital Exchange's value of 1.72 is 5.2% below this industry median.
How does Zenovia Digital Exchange's Current Ratio compare to EPXY and STTH?
Zenovia Digital Exchange's Current Ratio of 1.72 can be compared against companies in the Software industry. The industry median Current Ratio is 1.82. Zenovia Digital Exchange's value of 1.72 is 5.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Software company?
The median Current Ratio among Software companies is 1.82, based on 2,866 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Zenovia Digital Exchange's current Current Ratio of 1.72 is 5.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Software industry, the median Current Ratio is 1.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zenovia Digital Exchange's current Current Ratio is 1.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zenovia Digital Exchange stock overvalued right now?
Zenovia Digital Exchange (ZDEC) has a current Current Ratio of 1.72. The current Current Ratio is 1.72 and 5.2% below the Software industry median of 1.82. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Zenovia Digital Exchange (ZDEC), the current Current Ratio is 1.72 as of Mar. 2015. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Zenovia Digital Exchange Business Description

Address 3141 Fairview Park Drive, Suite 160, Falls Church, VA, USA, 22042
Zenovia Digital Exchange Corp designs and assembles motorsport racing vehicles for its own use and plans to compete in organized racing events. The company generates revenue from the leasing of race truck chassis and its motor coach to motorsports organizations competing in the NASACAR Camping World Truck Series.