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. Granite Real Estate Investment Trust's quick ratio for the quarter that ended in Dec. 2023 was 0.39.
Granite Real Estate Investment Trust has a quick ratio of 0.39. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Granite Real Estate Investment Trust's Quick Ratio or its related term are showing as below:
TSX:GRT.UN'
s Quick Ratio Range Over the Past 10 Years
Min: 0.39 Med: 2.61 Max: 8.39
Current: 0.39
During the past 13 years, Granite Real Estate Investment Trust's highest Quick Ratio was 8.39. The lowest was 0.39. And the median was 2.61.
TSX:GRT.UN's Quick Ratio is ranked worse than 75.45% of 721
companies
in the REITs industry
Industry Median: 0.91
vs TSX:GRT.UN: 0.39
Granite Real Estate Investment Trust Quick Ratio Historical Data
The historical data trend for Granite Real Estate Investment Trust'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 REIT - Industrial subindustry, Granite Real Estate Investment Trust'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.
Granite Real Estate Investment Trust Quick Ratio Distribution
For the REITs industry and Real Estate sector, Granite Real Estate Investment Trust's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Granite Real Estate Investment Trust's Quick Ratio falls into.
Granite Real Estate Investment Trust 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.
Granite Real Estate Investment Trust's Quick Ratio for the fiscal year that ended in Dec. 2023 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.
Granite Real Estate Investment Trust (TSX:GRT.UN) 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.
Granite Real Estate Investment Trust Quick Ratio Related Terms
Thank you for viewing the detailed overview of Granite Real Estate Investment Trust's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Granite Real Estate Investment Trust (TSX:GRT.UN) Business Description
Granite Real Estate Investment Trust, or Granite, is a real estate investment trust engaged in the acquisition, development, ownership and management of of logistics, warehouse and industrial properties in North America and Europe. Granite's portfolio comprises various manufacturing, corporate office, warehouse and logistics, and product engineering facilities. The vast majority of the company's assets are logistics and distribution warehouses and multipurpose buildings split fairly evenly amongst Canadian, Austrian, and U.S. locations. Granite derives nearly all of its revenue in the form of rental income from its properties. The company's tenant is Magna International, an automotive parts and systems manufacturer, which accounts for the majority of Granite's lease income.
Granite Real Estate Investment Trust (TSX:GRT.UN) Headlines
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