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. The RMR Group's quick ratio for the quarter that ended in Dec. 2023 was 2.58.
The RMR Group has a quick ratio of 2.58. It generally indicates good short-term financial strength.
The historical rank and industry rank for The RMR Group's Quick Ratio or its related term are showing as below:
RMR'
s Quick Ratio Range Over the Past 10 Years
Min: 1.53 Med: 4.69 Max: 10.46
Current: 2.58
During the past 11 years, The RMR Group's highest Quick Ratio was 10.46. The lowest was 1.53. And the median was 4.69.
RMR's Quick Ratio is ranked better than 82.71% of 1828
companies
in the Real Estate industry
Industry Median: 0.81
vs RMR: 2.58
The RMR Group Quick Ratio Historical Data
The historical data trend for The RMR Group'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.
Competitive Comparison of The RMR Group's Quick Ratio
For the Real Estate Services subindustry, The RMR Group'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.
The RMR Group's Quick Ratio Distribution in the Real Estate Industry
For the Real Estate industry and Real Estate sector, The RMR Group's Quick Ratio distribution charts can be found below:
* The bar in red indicates where The RMR Group's Quick Ratio falls into.
The RMR Group 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.
The RMR Group's Quick Ratio for the fiscal year that ended in Sep. 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.
The RMR Group (NAS:RMR) 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.
The RMR Group Quick Ratio Related Terms
Thank you for viewing the detailed overview of The RMR Group's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
The RMR Group (The RMR Group) Business Description
The RMR Group Inc is a holding company that conducts its business through its subsidiary, which is an alternative asset management company that invests in real estate and manages real estate-related businesses. Its business consists of providing management services to publicly owned real estate investment trusts, or REITs, and real estate-related operating companies. It also provides management services to real estate securities mutual funds and commercial real estate finance companies. The company's operating segment is RMR LLC and All Other Operations. The RMR Group derives its revenue from providing business and property management services as well as advisory and other services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
RMR has been successfully added to your 