PRST (Presto Automation) Quick Ratio: 0.11 (As of Mar. 2024)


What is Presto Automation Quick Ratio?

Presto Automation PRST -99.00% Quick Ratio is 0.11 as of Mar. 2024.

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. Presto Automation's quick ratio for the quarter that ended in Mar. 2024 was 0.11.

Presto Automation has a quick ratio of 0.11. It indicates that the company cannot currently fully pay back its current liabilities.

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

PRST's Quick Ratio is not ranked *
in the Software industry.
Industry Median: 1.7
* Ranked among companies with meaningful Quick Ratio only.

Presto Automation  (OTCPK:PRST) 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.

Presto Automation Quick Ratio Related Terms

Presto Automation Quick Ratio Historical Data

* Premium members only.

The historical data trend for Presto Automation'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.

Presto Automation Quick Ratio Chart

Presto Automation Annual Data
Trend Jun20 Jun21 Jun22 Jun23
Quick Ratio
0.54 0.92 0.09 0.50

Presto Automation Quarterly Data
Jun20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.52 0.50 0.28 0.27 0.11

PRST vs BOMO, CRM, INTU: Quick Ratio Comparison

For the Software - Application subindustry, Presto Automation'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.

Presto Automation Quick Ratio vs Software Industry

For the Software industry and Technology sector, Presto Automation's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Presto Automation's Quick Ratio falls into.


Presto Automation 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.

Presto Automation's Quick Ratio for the fiscal year that ended in Jun. 2023 is calculated as

Quick Ratio (A: Jun. 2023 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(31.066-0.629)/61.213
=0.50

Presto Automation's Quick Ratio for the quarter that ended in Mar. 2024 is calculated as

Quick Ratio (Q: Mar. 2024 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(8.157-0.181)/71.534
=0.11

* 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 Quick Ratio →
What does a Quick Ratio of 0.11 mean?
Presto Automation (PRST) has a Quick Ratio of 0.11 as of Mar. 2024. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Presto Automation and its competitors.
Is Presto Automation's Quick Ratio too high?
Presto Automation's current Quick Ratio is 0.11. The Software industry median Quick Ratio is 1.70. Presto Automation's value of 0.11 is 93.5% below this industry median.
How does Presto Automation's Quick Ratio compare to BOMO and CRM?
Presto Automation's Quick Ratio of 0.11 can be compared against companies in the Software industry. The industry median Quick Ratio is 1.70. Presto Automation's value of 0.11 is 93.5% 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 Quick Ratio for a Software company?
The median Quick Ratio among Software companies is 1.70, based on 2,864 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. Presto Automation's current Quick Ratio of 0.11 is 93.5% 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 Presto Automation and its competitors. For the Software industry, the median Quick Ratio is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Presto Automation's current Quick Ratio is 0.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Presto Automation stock overvalued right now?
Presto Automation (PRST) has a current Quick Ratio of 0.11. The current Quick Ratio is 0.11 and 93.5% below the Software industry median of 1.70. 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 Presto Automation (PRST), the current Quick Ratio is 0.11 as of Mar. 2024. 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.

Presto Automation Business Description

Address 985 Industrial Road, San Carlos, CA, USA, 94070
Presto Automation Inc overlays next-gen digital solutions onto the physical world. It provides an accurate, next-gen solution that uses artificial intelligence to automate speech recognition for restaurant drive-thru. The Company earns substantially all of its revenue in the United States.