Raven Industries has a quick ratio of 1.40. It generally indicates good short-term financial strength.
The historical rank and industry rank for Raven Industries's Quick Ratio or its related term are showing as below:
RAVN'
s Quick Ratio Range Over the Past 10 Years
Min: 0.76 Med: 2.22 Max: 4.69
Current: 1.4
During the past 13 years, Raven Industries's highest Quick Ratio was 4.69. The lowest was 0.76. And the median was 2.22.
RAVN's Quick Ratio is not ranked
in the Industrial Products industry.
Industry Median: 1.38
vs RAVN: 1.40
Raven Industries Quick Ratio Historical Data
The historical data trend for Raven Industries'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 Raven Industries's Quick Ratio
For the Specialty Industrial Machinery subindustry, Raven Industries'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.
Raven Industries's Quick Ratio Distribution in the Industrial Products Industry
For the Industrial Products industry and Industrials sector, Raven Industries's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Raven Industries's Quick Ratio falls into.
Raven Industries 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.
Raven Industries's Quick Ratio for the fiscal year that ended in Jan. 2021 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.
Raven Industries (NAS:RAVN) 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.
Raven Industries Quick Ratio Related Terms
Thank you for viewing the detailed overview of Raven Industries's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Raven Industries (Raven Industries) Business Description
Raven Industries Inc is a diversified technology company providing products to customers within the industrial, agricultural, energy, construction, and defense markets. The company has three reportable segments namely Applied Technology, Engineered Films Division, and Aerostar Division. Applied Technology sells its precision agriculture control products to both original equipment manufacturers and through aftermarket distribution partners. Its Engineered Films produces high-performance plastic films and sheeting for geomembrane, agricultural, construction, and industrial applications, and Aerostar serves the aerospace/defense, radar, and lighter-than-air markets. It generates a majority of its revenue from the Engineered Films segment.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
RAVN has been successfully added to your 