* 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 Rainy Mountain Royalty's Quick Ratio
For the Other Industrial Metals & Mining subindustry, Rainy Mountain Royalty'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.
Rainy Mountain Royalty's Quick Ratio Distribution in the Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Rainy Mountain Royalty's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Rainy Mountain Royalty's Quick Ratio falls into.
Rainy Mountain Royalty 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.
Rainy Mountain Royalty's Quick Ratio for the fiscal year that ended in Apr. 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.
Rainy Mountain Royalty (TSXV:RMO) 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.
Rainy Mountain Royalty Quick Ratio Related Terms
Thank you for viewing the detailed overview of Rainy Mountain Royalty's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Rainy Mountain Royalty (TSXV:RMO) Business Description
Rainy Mountain Royalty Corp is a mineral exploration project generator. The company is engaged in acquiring early-stage exploration opportunities and delivering them drill targets ready to joint venture partners. The company currently holds multiple property interests in Ontario and is primarily focused on shear-hosted gold and base metals properties with associated gold and silver credits. Its property portfolio consists of Marshall Lake and other properties.
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