HKSE:02439's Quick Ratio is ranked worse than 51.62% of 1604
companies
in the Chemicals industry
Industry Median: 1.38
vs HKSE:02439: 1.33
China Treasures New Materials Group (HKSE:02439) 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.
China Treasures New Materials Group Quick Ratio Related Terms
China Treasures New Materials Group Quick Ratio Historical Data
* 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.
China Treasures New Materials Group Quick Ratio Chart
HKSE:02439 vs LIN, SHW, ECL: Quick Ratio Comparison
For the Specialty Chemicals subindustry, China Treasures New Materials Group'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.
China Treasures New Materials Group Quick Ratio vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, China Treasures New Materials Group's Quick Ratio distribution charts can be found below:
* The bar in red indicates where China Treasures New Materials Group's Quick Ratio falls into.
China Treasures New Materials Group 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.
* 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.
China Treasures New Materials Group (HKSE:02439) has a Quick Ratio of 1.33 as of Dec. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on China Treasures New Materials Group and its competitors. This is 38% below median its historical median of 2.13. Over the past decade, China Treasures New Materials Group's Quick Ratio has ranged from 1.33 to 4.72. According to the industry distribution chart, China Treasures New Materials Group ranks #828 out of 1604 companies in the Chemicals industry, placing it in the top 51.6%.
Is China Treasures New Materials Group's Quick Ratio too high?
China Treasures New Materials Group's current Quick Ratio of 1.33 is 38% below median its 10-year median of 2.13. Over the past 10 years, this metric has ranged from a low of 1.33 to a high of 4.72. The Chemicals industry median Quick Ratio is 1.38. China Treasures New Materials Group's value of 1.33 is 3.6% below this industry median. Based on the distribution chart, China Treasures New Materials Group ranks #828 out of 1604 companies in the Chemicals industry, which is below the industry midpoint. Overall, China Treasures New Materials Group has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Treasures New Materials Group's Quick Ratio compare to LIN and SHW?
According to the Chemicals industry distribution chart, China Treasures New Materials Group ranks #828 out of 1604 companies for Quick Ratio. This places China Treasures New Materials Group in the lower half of its industry. The industry median Quick Ratio is 1.38. China Treasures New Materials Group's value of 1.33 is 3.6% below this benchmark. Historically, China Treasures New Materials Group's own Quick Ratio has ranged from 1.33 to 4.72 over the past decade. While the company's 10-year median is 2.13 vs. the industry median of 1.38, China Treasures New Materials Group has consistently been below the industry average. 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 a Chemicals company?
The median Quick Ratio among Chemicals companies is 1.38, based on 1,604 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. China Treasures New Materials Group's current Quick Ratio of 1.33 is 3.6% 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 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 China Treasures New Materials Group and its competitors. For the Chemicals industry, the median Quick Ratio is 1.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Treasures New Materials Group's current Quick Ratio is 1.33, which is 38% below median its own 10-year median of 2.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Treasures New Materials Group stock overvalued right now?
Based on GuruFocus' analysis, China Treasures New Materials Group (HKSE:02439) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.20, compared to a current price of HK$0.34 — trading 70% above its estimated fair value. The current Quick Ratio is 1.33, which is 38% below median its 10-year median of 2.13 and 3.6% below the Chemicals industry median of 1.38. China Treasures New Materials Group's overall GF Score™ is 64/100 with 9 warning signs to review. 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 China Treasures New Materials Group (HKSE:02439), the current Quick Ratio is 1.33 as of Dec. 2025. 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.
Is China Treasures New Materials Group (HKSE:02439) Overvalued in 2026?
Based on GuruFocus' analysis, China Treasures New Materials Group stock appears to be overvalued.
The current stock price of HK$0.34 is trading 70% above its estimated GF Value™ of HK$0.20.
GuruFocus considers China Treasures New Materials Group to be Significantly Overvalued.
Key valuation signals for HKSE:02439:
Quick Ratio: 1.33 (38% below median its 10-year median of 2.13)
GF Value™: HK$0.20 vs. price of HK$0.34 (70% above fair value)
Industry Position: 3.6% below the Chemicals median (#828 of 1604)
No single metric tells the full story. See the HKSE:02439 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Treasures New Materials Group Business Description
China Treasures New Materials Group Ltd mainly engages in developing and manufacturing biodegradable plastic products in Northeast China. Its biodegradable plastic products mainly come in biodegradable roll bags. The Group provides biodegradable plastic products, including biodegradable masterbatches that can be used to produce biodegradable plastic products. It has two reportable and operating segments: development and manufacture of biodegradable plastic products, and development and manufacture of non-biodegradable automobile plastic parts. The Group generates the majority of its revenue from the development and manufacture of biodegradable plastic products. Geographically, it generates maximum revenue from the People's Republic of China (PRC).
64GF Score
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