Valmont Industries has a Cash Ratio of 0.28. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Valmont Industries's Cash Ratio or its related term are showing as below:
VMI'
s Cash Ratio Range Over the Past 10 Years
Min: 0.23 Med: 0.73 Max: 1.22
Current: 0.28
During the past 13 years, Valmont Industries's highest Cash Ratio was 1.22. The lowest was 0.23. And the median was 0.73.
VMI's Cash Ratio is ranked worse than 60% of 515
companies
in the Conglomerates industry
Industry Median: 0.39
vs VMI: 0.28
Valmont Industries Cash Ratio Historical Data
The historical data trend for Valmont Industries'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.
Competitive Comparison of Valmont Industries's Cash Ratio
For the Conglomerates subindustry, Valmont Industries'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.
Valmont Industries's Cash Ratio Distribution in the Conglomerates Industry
For the Conglomerates industry and Industrials sector, Valmont Industries's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Valmont Industries's Cash Ratio falls into.
Valmont Industries Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Valmont Industries'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.
Valmont Industries (NYSE:VMI) 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.
Valmont Industries Cash Ratio Related Terms
Thank you for viewing the detailed overview of Valmont Industries's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Valmont Industries (Valmont Industries) Business Description
Valmont began in 1946 when founder, Robert B. Daugherty, combined his $5,000 savings with a wholehearted belief that business could and should be done better. From those modest beginnings, the company grew into a global leader, designing and manufacturing highly engineered products and services that support infrastructure development and agricultural productivity. Two primary business segments comprise Valmont: Agriculture and Infrastructure. Valmont have 85 manufacturing facilities in 22 countries, and do business in more than 100 countries across six continents.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
VMI has been successfully added to your 