Amcon Distributing Co has a quick ratio of 0.91. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Amcon Distributing Co's Quick Ratio or its related term are showing as below:
DIT'
s Quick Ratio Range Over the Past 10 Years
Min: 0.88 Med: 1.07 Max: 1.36
Current: 0.91
During the past 13 years, Amcon Distributing Co's highest Quick Ratio was 1.36. The lowest was 0.88. And the median was 1.07.
DIT's Quick Ratio is ranked better than 52.04% of 319
companies
in the Retail - Defensive industry
Industry Median: 0.86
vs DIT: 0.91
Amcon Distributing Co Quick Ratio Historical Data
The historical data trend for Amcon Distributing Co'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.
Competitive Comparison of Amcon Distributing Co's Quick Ratio
For the Food Distribution subindustry, Amcon Distributing Co'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.
Amcon Distributing Co's Quick Ratio Distribution in the Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Amcon Distributing Co's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Amcon Distributing Co's Quick Ratio falls into.
Amcon Distributing Co 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.
Amcon Distributing Co's Quick Ratio for the fiscal year that ended in Sep. 2024 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.
Amcon Distributing Co (AMEX:DIT) 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.
Amcon Distributing Co Quick Ratio Related Terms
Thank you for viewing the detailed overview of Amcon Distributing Co's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Amcon Distributing Co is engaged in the wholesale and retail distribution of consumer products such as cigarettes, tobacco, confectionery, health food, and others. It operates in two segments: Wholesale distribution segment distributing consumer products to the retail outlets including convenience stores, grocery stores, liquor stores, drug stores and tobacco shops in the Central, Rocky Mountain, and Southern regions of the United States; and the Retail health food segment is a specialty retailer of natural/organic groceries and dietary supplements throughout the Midwest and Florida. The company earns a majority of the revenue from the Wholesale distribution segment.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
DIT has been successfully added to your 