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. Allied Resources's quick ratio for the quarter that ended in Dec. 2018 was 78.29.
Allied Resources has a quick ratio of 78.29. It generally indicates good short-term financial strength.
The historical rank and industry rank for Allied Resources's Quick Ratio or its related term are showing as below:
ALOD's Quick Ratio is not ranked *
in the Oil & Gas industry.
Industry Median: 1.12 * Ranked among companies with meaningful Quick Ratio only.
Allied Resources (OTCPK:ALOD) 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.
Allied Resources Quick Ratio Related Terms
Allied Resources Quick Ratio Historical Data
* Premium members only.
The historical data trend for Allied Resources'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.
ALOD vs ATRVF, GDPMQ, OOIL: Quick Ratio Comparison
For the Oil & Gas E&P subindustry, Allied Resources'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.
Allied Resources Quick Ratio vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Allied Resources's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Allied Resources's Quick Ratio falls into.
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.
Allied Resources's Quick Ratio for the fiscal year that ended in Dec. 2018 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.
Allied Resources (ALOD) has a Quick Ratio of 78.29 as of Dec. 2018. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Allied Resources and its competitors.
Is Allied Resources' Quick Ratio too high?
Allied Resources' current Quick Ratio is 78.29. The Oil & Gas industry median Quick Ratio is 1.12. Allied Resources' value of 78.29 is 6890.2% above this industry median.
How does Allied Resources' Quick Ratio compare to ATRVF and GDPMQ?
Allied Resources' Quick Ratio of 78.29 can be compared against companies in the Oil & Gas industry. The industry median Quick Ratio is 1.12. Allied Resources' value of 78.29 is 6890.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Quick Ratio for an Oil & Gas company?
The median Quick Ratio among Oil & Gas companies is 1.12, based on 1,011 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Allied Resources's current Quick Ratio of 78.29 is 6890.2% above 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Allied Resources and its competitors. For the Oil & Gas industry, the median Quick Ratio is 1.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Allied Resources's current Quick Ratio is 78.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Allied Resources stock overvalued right now?
Allied Resources (ALOD) has a current Quick Ratio of 78.29. The current Quick Ratio is 78.29 and 6890.2% above the Oil & Gas industry median of 1.12. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Allied Resources (ALOD), the current Quick Ratio is 78.29 as of Dec. 2018. 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.
Allied Resources Inc is engaged in producing oil and natural gas from leases located in West Virginia and Texas. The Company is mainly involved in acquiring, developing, producing, and selling oil and gas properties and production to companies in the continental United States. It is an independent oil and natural gas producer engaged in the exploration, development, production, and sale of oil, natural gas, and liquids from properties located in Calhoun and Ritchie counties, West Virginia, and Goliad and Edwards counties, Texas. Oil and liquids are sold at spot market prices as of the date of pickup.
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