The Cash Ratio measures a company’s ability to meet its short-term obligations with cash and near-cash resources. It is calculated as a company's Cash, Cash Equivalents, Marketable Securities divides by its Total Current Liabilities. Liberty Formula One Group's Cash Ratio for the quarter that ended in Dec. 2023 was 1.79.
Liberty Formula One Group has a Cash Ratio of 1.79. It generally indicates that the company is able to cover all short-term debt and still have cash remaining.
The historical rank and industry rank for Liberty Formula One Group's Cash Ratio or its related term are showing as below:
FWONA'
s Cash Ratio Range Over the Past 10 Years
Min: 0.33 Med: 1.6 Max: 5.42
Current: 1.79
During the past 13 years, Liberty Formula One Group's highest Cash Ratio was 5.42. The lowest was 0.33. And the median was 1.60.
FWONA's Cash Ratio is ranked better than 81.62% of 1023
companies
in the Media - Diversified industry
Industry Median: 0.54
vs FWONA: 1.79
Liberty Formula One Group Cash Ratio Historical Data
The historical data trend for Liberty Formula One Group's Cash 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 Entertainment subindustry, Liberty Formula One Group's Cash Ratio, along with its competitors' market caps and Cash 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.
Liberty Formula One Group Cash Ratio Distribution
For the Media - Diversified industry and Communication Services sector, Liberty Formula One Group's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Liberty Formula One Group's Cash Ratio falls into.
Liberty Formula One Group Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Liberty Formula One Group's Cash 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.
Liberty Formula One Group (NAS:FWONA) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Liberty Formula One Group Cash Ratio Related Terms
Thank you for viewing the detailed overview of Liberty Formula One Group's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Liberty Formula One Group (Liberty Formula One Group) Business Description
Formula One Group controls the exclusive commercial and promotional rights to the FIA Formula One World Championship series, and the monetization of those rights is the primary business of the group. The firm is responsible for development and promotion of the Formula One race series in concert with its three partners: the FIA (the regulatory body), the teams that participate in the series, and the series' commercial partners, which include the race promoters, broadcasters, sponsors, and advertisers. The F1 schedule in 2023 will encompass 23 races held on five continents. Formula One Group is a subsidiary of Liberty Media, which purchased the firm in January 2017. Formula One stock is a tracking stock for the assets under Formula One Group with Liberty Media.
Liberty Formula One Group (Liberty Formula One Group) Headlines
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