Lightning eMotors has a quick ratio of 0.29. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Lightning eMotors's Quick Ratio or its related term are showing as below:
ZEVY's Quick Ratio is not ranked *
in the Farm & Heavy Construction Machinery industry.
Industry Median: 1.17 * Ranked among companies with meaningful Quick Ratio only.
Lightning eMotors (OTCPK:ZEVY) 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.
Lightning eMotors Quick Ratio Related Terms
Lightning eMotors Quick Ratio Historical Data
* Premium members only.
The historical data trend for Lightning eMotors'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.
For the Farm & Heavy Construction Machinery subindustry, Lightning eMotors'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.
Lightning eMotors Quick Ratio vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Lightning eMotors's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Lightning eMotors'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.
Lightning eMotors's Quick Ratio for the fiscal year that ended in Dec. 2022 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.
Lightning eMotors (ZEVY) has a Quick Ratio of 0.29 as of Sep. 2023. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Lightning eMotors and its competitors.
Is Lightning eMotors' Quick Ratio too high?
Lightning eMotors' current Quick Ratio is 0.29. The Farm & Heavy Construction Machinery industry median Quick Ratio is 1.17. Lightning eMotors' value of 0.29 is 75.2% below this industry median. Overall, Lightning eMotors has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Lightning eMotors' Quick Ratio compare to AMMX and CEAD?
Lightning eMotors' Quick Ratio of 0.29 can be compared against companies in the Farm & Heavy Construction Machinery industry. The industry median Quick Ratio is 1.17. Lightning eMotors' value of 0.29 is 75.2% 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 Farm & Heavy Construction Machinery company?
The median Quick Ratio among Farm & Heavy Construction Machinery companies is 1.17, based on 211 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. Lightning eMotors's current Quick Ratio of 0.29 is 75.2% 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 Lightning eMotors and its competitors. For the Farm & Heavy Construction Machinery industry, the median Quick Ratio is 1.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lightning eMotors's current Quick Ratio is 0.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lightning eMotors stock overvalued right now?
Lightning eMotors (ZEVY) has a current Quick Ratio of 0.29. The current Quick Ratio is 0.29 and 75.2% below the Farm & Heavy Construction Machinery industry median of 1.17. Lightning eMotors' overall GF Score™ is 12/100. 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 Lightning eMotors (ZEVY), the current Quick Ratio is 0.29 as of Sep. 2023. 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.
Lightning eMotors Inc is engaged in designing and manufacturing zero-emission commercial trucks and buses and charging infrastructure solutions for fleets, large enterprises, original equipment manufacturers, and governments. Its product offerings range from cargo vans, transit and shuttle buses, school buses, specialty work trucks, ambulances, and electric powertrains for school buses, transit buses, and motor coaches. Its product solutions help its customers reduce their greenhouse gas emissions, lower operating costs and improve energy efficiency.
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