Vision Marine Technologies (Vision Marine Technologies) Quick Ratio

: 0.72 (As of Nov. 2023)

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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. Vision Marine Technologies's quick ratio for the quarter that ended in Nov. 2023 was 0.72.

Vision Marine Technologies has a quick ratio of 0.72. It indicates that the company cannot currently fully pay back its current liabilities.

The historical rank and industry rank for Vision Marine Technologies's Quick Ratio or its related term are showing as below:

VMAR' s Quick Ratio Range Over the Past 10 Years
Min: 0.34 Med: 1.26 Max: 30.31
Current: 0.72

During the past 6 years, Vision Marine Technologies's highest Quick Ratio was 30.31. The lowest was 0.34. And the median was 1.26.

VMAR's Quick Ratio is ranked worse than
72.27% of 1309 companies
in the Vehicles & Parts industry
Industry Median: 1.05 vs VMAR: 0.72

Vision Marine Technologies Quick Ratio Historical Data

The historical data trend for Vision Marine Technologies'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.

Vision Marine Technologies Annual Data

Trend

Aug18

Aug19

Aug20

Aug21

Aug22

Aug23

Quick Ratio

0.38

1.02

7.18

3.31

1.25

Vision Marine Technologies Quarterly Data
	Aug18	Feb19	Aug19	Feb20	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23	May23	Aug23	Nov23
Quick Ratio															0.87	1.27	0.85	1.25	0.72

Competitive Comparison

For the Recreational Vehicles subindustry, Vision Marine Technologies'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.

Vision Marine Technologies Quick Ratio Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, Vision Marine Technologies's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Vision Marine Technologies's Quick Ratio falls into.

Vision Marine Technologies 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.

Vision Marine Technologies's Quick Ratio for the fiscal year that ended in Aug. 2023 is calculated as

Quick Ratio (A: Aug. 2023 )	=	(Total Current Assets	-	Total Inventories)	/	Total Current Liabilities
	=	(6.297	-	1.815)	/	3.598
	=	1.25

Vision Marine Technologies's Quick Ratio for the quarter that ended in Nov. 2023 is calculated as

Quick Ratio (Q: Nov. 2023 )	=	(Total Current Assets	-	Total Inventories)	/	Total Current Liabilities
	=	(5.475	-	2.322)	/	4.38
	=	0.72

Vision Marine Technologies (NAS:VMAR) 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.

Vision Marine Technologies Quick Ratio Related Terms

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Vision Marine Technologies (Vision Marine Technologies) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Vision Marine Technologies Inc (NAS:VMAR) » Definitions » Quick Ratio

Comparable Companies

Traded in Other Exchanges

N/A

Address

730 Boulevard du Cure-Boivin, Boisbriand, Montreal, QC, CAN, J7G 2A7

Website

https://www.visionmarinetechnologies.com

Vision Marine Technologies Inc is in the business of designing and manufacturing electric outboard powertrain systems, power boats, and related technology and the renting of electric boats. The different models of the powerboats and electric boats manufactured by the company includes, Bruce 22, Fantail 217, Volt 180 and others. The company operates in two reportable business segments; Sale of electric boats and Rental of electric boats. The majority of the revenue for the company is generated from its Rental of electric boats segment. Geographically, the company generates revenue from its business in Canada, USA and other countries. A substantial portion of the overall revenue is generated from its business in USA.