The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Hyzon Motors's current ratio for the quarter that ended in Dec. 2023 was 3.58.
Hyzon Motors has a current ratio of 3.58. It indicates the company may not be efficiently using its current assets or its short-term financing facilities. This may also indicate problems in working capital management.
The historical rank and industry rank for Hyzon Motors's Current Ratio or its related term are showing as below:
HYZN'
s Current Ratio Range Over the Past 10 Years
Min: 3.55 Med: 5.2 Max: 15.87
Current: 3.58
During the past 4 years, Hyzon Motors's highest Current Ratio was 15.87. The lowest was 3.55. And the median was 5.20.
HYZN's Current Ratio is ranked better than 87.79% of 1310
companies
in the Vehicles & Parts industry
Industry Median: 1.525
vs HYZN: 3.58
Hyzon Motors Current Ratio Historical Data
The historical data trend for Hyzon Motors's Current 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 Hyzon Motors's Current Ratio
For the Auto Parts subindustry, Hyzon Motors's Current Ratio, along with its competitors' market caps and Current 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.
Hyzon Motors's Current Ratio Distribution in the Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Hyzon Motors's Current Ratio distribution charts can be found below:
* The bar in red indicates where Hyzon Motors's Current Ratio falls into.
Hyzon Motors Current Ratio Calculation
The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.
Hyzon Motors's Current 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.
Hyzon Motors (NAS:HYZN) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Hyzon Motors Current Ratio Related Terms
Thank you for viewing the detailed overview of Hyzon Motors's Current Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Hyzon Motors Inc assembles and supplies hydrogen fuel cell-powered commercial vehicles across North America, Europe, China, and Australasia. In addition, it builds and fosters a clean hydrogen supply ecosystem with partners from feedstocks through production, dispensing and financing. The company intends to meet its customers' zero-emission vehicle needs by electrifying proven vehicle platforms utilizing its industry- leading fuel cell and electric propulsion technologies. It expects to deploy these technologies in various vehicle classes, including heavy-duty and medium-duty trucks and buses with the potential for future expansion into light-duty commercial vehicles, additional mobility use cases and stationary power applications.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HYZN has been successfully added to your 