Guangdong Leadyo IC Testing Co has a current ratio of 0.81. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If Guangdong Leadyo IC Testing Co has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.
The historical rank and industry rank for Guangdong Leadyo IC Testing Co's Current Ratio or its related term are showing as below:
SHSE:688135'
s Current Ratio Range Over the Past 10 Years
Min: 0.74 Med: 1.98 Max: 6.83
Current: 0.81
During the past 9 years, Guangdong Leadyo IC Testing Co's highest Current Ratio was 6.83. The lowest was 0.74. And the median was 1.98.
SHSE:688135's Current Ratio is ranked worse than 93.89% of 999
companies
in the Semiconductors industry
Industry Median: 2.41
vs SHSE:688135: 0.81
Guangdong Leadyo IC Testing Co Current Ratio Historical Data
* 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.
Guangdong Leadyo IC Testing Co Current Ratio Chart
Competitive Comparison of Guangdong Leadyo IC Testing Co's Current Ratio
For the Semiconductors subindustry, Guangdong Leadyo IC Testing Co'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.
Guangdong Leadyo IC Testing Co's Current Ratio Distribution in the Semiconductors Industry
For the Semiconductors industry and Technology sector, Guangdong Leadyo IC Testing Co's Current Ratio distribution charts can be found below:
* The bar in red indicates where Guangdong Leadyo IC Testing Co's Current Ratio falls into.
Guangdong Leadyo IC Testing Co 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.
* 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.
Guangdong Leadyo IC Testing Co (SHSE:688135) 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.
Guangdong Leadyo IC Testing Co Current Ratio Related Terms
Thank you for viewing the detailed overview of Guangdong Leadyo IC Testing Co's Current Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Guangdong Leadyo IC Testing Co (SHSE:688135) Business Description
Guangdong Leadyo IC Testing Co Ltd is engaged in integrated circuit testing program development, 12-inch and 8-inch wafer testing services, finished chip testing services, and supporting services related to integrated circuit testing. It specializes in the semiconductor back-end processing step including the manufacture of integrated circuits of wafer testing, wafer thinning, wafer cutting, product testing and IC taping one-stop service, IC testing and provide software development, chip testing analysis, Load Board MPW production and engineering validation and Probe Card batch production, and other related services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
SHSE:688135 has been successfully added to your 