* 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 Natural Gas Services Group's Quick Ratio
For the Oil & Gas Equipment & Services subindustry, Natural Gas Services Group'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.
Natural Gas Services Group's Quick Ratio Distribution in the Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Natural Gas Services Group's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Natural Gas Services Group's Quick Ratio falls into.
Natural Gas Services Group 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.
* 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.
Natural Gas Services Group (NYSE:NGS) 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.
Natural Gas Services Group Quick Ratio Related Terms
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Natural Gas Services Group (Natural Gas Services Group) Business Description
Natural Gas Services Group Inc provides natural gas compression equipment and services to the energy industry. The company manufacture, fabricate, rent, sell and maintain natural gas compressors and flare systems for oil and natural gas production and plant facilities. Its operating units include Gas Compressor Rental, Engineered Equipment Sales, Service, and Maintenance. The company generates the majority of its revenue by renting out low- to medium-horsepower compression equipment to natural gas production companies in unconventional oil and gas regions of the United States.
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