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ACVA (ACV Auctions) Quick Ratio : 1.51 (As of Sep. 2024)


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What is ACV Auctions Quick Ratio?

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. ACV Auctions's quick ratio for the quarter that ended in Sep. 2024 was 1.51.

ACV Auctions has a quick ratio of 1.51. It generally indicates good short-term financial strength.

The historical rank and industry rank for ACV Auctions's Quick Ratio or its related term are showing as below:

ACVA' s Quick Ratio Range Over the Past 10 Years
Min: 1.49   Med: 2.13   Max: 2.76
Current: 1.51

During the past 5 years, ACV Auctions's highest Quick Ratio was 2.76. The lowest was 1.49. And the median was 2.13.

ACVA's Quick Ratio is ranked better than
69.95% of 1318 companies
in the Vehicles & Parts industry
Industry Median: 1.05 vs ACVA: 1.51

ACV Auctions Quick Ratio Historical Data

The historical data trend for ACV Auctions's Quick 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.

ACV Auctions Quick Ratio Chart

ACV Auctions Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Quick Ratio
2.75 2.13 2.03 2.17 2.12

ACV Auctions Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Quick 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 2.02 2.12 1.62 1.49 1.51

Competitive Comparison of ACV Auctions's Quick Ratio

For the Auto & Truck Dealerships subindustry, ACV Auctions's Quick Ratio, along with its competitors' market caps and Quick 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.


ACV Auctions's Quick Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, ACV Auctions's Quick Ratio distribution charts can be found below:

* The bar in red indicates where ACV Auctions's Quick Ratio falls into.



ACV Auctions Quick Ratio Calculation

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.

ACV Auctions's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Quick Ratio (A: Dec. 2023 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(706.899-0)/333.941
=2.12

ACV Auctions's Quick Ratio for the quarter that ended in Sep. 2024 is calculated as

Quick Ratio (Q: Sep. 2024 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(639.232-0)/422.242
=1.51

* 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.


ACV Auctions  (NAS:ACVA) Quick Ratio Explanation

The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.

In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.

The higher the quick ratio, the better the company's liquidity position.


ACV Auctions Quick Ratio Related Terms

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ACV Auctions Business Description

Traded in Other Exchanges
N/A
Address
640 Ellicott Street, Suite 321, Buffalo, NY, USA, 14203
ACV Auctions Inc is a mobile platform for wholesale car auctions. It provides a digital marketplace for wholesale vehicle transactions and data services that offer transparent and accurate vehicle information for customers.
Executives
William Zerella officer: Chief Financial Officer C/O FITBIT, INC., 405 HOWARD STREET, SAN FRANCISCO CA 94105
Brian Hirsch director C/O ACV AUCTIONS INC., 640 ELLICOTT STREET, #321, BUFFALO NY 14203
Michael Waterman officer: Chief Sales Officer C/O ACV AUCTIONS INC., 640 ELLICOTT STREET, #321, BUFFALO NY 14203
George Chamoun director, officer: Chief Executive Officer C/O SYNACOR, INC., 40 LA RIVIERE DRIVE, SUITE 300, BUFFALO NY 14202
Craig Eric Anderson officer: CCDSO and Chief Legal Officer C/O ACV AUCTIONS INC., 640 ELLICOTT STREET, #321, BUFFALO NY 14203
Vikas Mehta officer: Chief Operating Officer C/O ACV AUCTIONS INC., 640 ELLICOTT STREET, #321, BUFFALO NY 14203
Eileen A Kamerick director 200 NORTH ADAMS STREET, GREEN BAY WI 54301
Leanne Fitzgerald officer: Chief Legal Officer 1 WAYSIDE ROAD, BURLINGTON MA 01803
Kirsten Castillo director 5 GREAT VALLEY PARKWAY, SUITE 160, MALVERN PA 19355
Bessemer Venture Partners Ix L.p. 10 percent owner C/O BESSEMER VENTURE PARTNERS, 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538
Robert P Goodman director 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538
Bessemer Venture Partners Ix Institutional L.p. 10 percent owner 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538
Deer Ix & Co. L.p. 10 percent owner C/O BESSEMER VENTURE PARTNERS, 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538
Deer Ix & Co. Ltd. 10 percent owner C/O BESSEMER VENTURE PARTNERS, 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538
15 Angels Iii Llc 10 percent owner 1865 PALMER AVENUE, SUITE 104, LARCHMONT NY 10538