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MUEL (Paul Mueller Co) Quick Ratio : 0.91 (As of Dec. 2007)


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What is Paul Mueller Co Quick Ratio?

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. Paul Mueller Co's quick ratio for the quarter that ended in Dec. 2007 was 0.91.

Paul Mueller 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 Paul Mueller Co's Quick Ratio or its related term are showing as below:

MUEL's Quick Ratio is not ranked *
in the Industrial Products industry.
Industry Median: 1.425
* Ranked among companies with meaningful Quick Ratio only.

Paul Mueller Co Quick Ratio Historical Data

The historical data trend for Paul Mueller 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.

* Premium members only.

Paul Mueller Co Quick Ratio Chart

Paul Mueller Co Annual Data
Trend Dec98 Dec99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.79 0.85 1.06 0.80 0.91

Paul Mueller Co Semi-Annual Data
Dec88 Dec89 Dec90 Dec91 Dec92 Dec93 Dec94 Dec95 Dec96 Dec97 Dec98 Dec99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.79 0.85 1.06 0.80 0.91

Competitive Comparison of Paul Mueller Co's Quick Ratio

For the Metal Fabrication subindustry, Paul Mueller 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.


Paul Mueller Co's Quick Ratio Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Paul Mueller Co's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Paul Mueller Co's Quick Ratio falls into.


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Paul Mueller 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.

Paul Mueller Co's Quick Ratio for the fiscal year that ended in Dec. 2007 is calculated as

Quick Ratio (A: Dec. 2007 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(69.785-17.993)/57.218
=0.91

Paul Mueller Co's Quick Ratio for the quarter that ended in Dec. 2007 is calculated as

Quick Ratio (Q: Dec. 2007 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(69.785-17.993)/57.218
=0.91

* 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.


Paul Mueller Co  (OTCPK:MUEL) 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.


Paul Mueller Co Quick Ratio Related Terms

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Paul Mueller Co Business Description

Traded in Other Exchanges
N/A
Address
1600 West Phelps Street, Springfield, MO, USA, 65802
Paul Mueller Co provides manufactured equipment and components. The company operates through segments namely Dairy Farm Equipment, Industrial Equipment, and Transportation. In Dairy Farm Equipment, products include milk cooling and storage equipment and accessories, and refrigeration units. The industrial Equipment segment includes customized stainless steel and alloy processing and storage tanks, pure water equipment, and heat transfer products. Transportation includes delivery of products to customers and backhauls of materials and components. The company generates key revenue from Industrial Equipment segments. Geographically, the company generates a majority of its revenue from the United States.