Alterola Biotech Cash And Equivalents vs. Current Ratio

ABTI Stock  USD 0.01  0  25.00%   
Considering the key profitability indicators obtained from Alterola Biotech's historical financial statements, Alterola Biotech may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Alterola Biotech's ability to earn profits and add value for shareholders.
For Alterola Biotech profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Alterola Biotech to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Alterola Biotech utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Alterola Biotech's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Alterola Biotech over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Alterola Biotech's value and its price as these two are different measures arrived at by different means. Investors typically determine if Alterola Biotech is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Alterola Biotech's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Alterola Biotech Current Ratio vs. Cash And Equivalents Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Alterola Biotech's current stock value. Our valuation model uses many indicators to compare Alterola Biotech value to that of its competitors to determine the firm's financial worth.
Alterola Biotech is rated fifth in cash and equivalents category among its peers. It is rated below average in current ratio category among its peers . The ratio of Cash And Equivalents to Current Ratio for Alterola Biotech is about  615,400 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Alterola Biotech by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Alterola Biotech's Pink Sheet. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Alterola Current Ratio vs. Cash And Equivalents

Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.

Alterola Biotech

Cash

 = 

Bank Deposits

+

Liquidities

 = 
61.54 K
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.

Alterola Biotech

Current Ratio

 = 

Current Asset

Current Liabilities

 = 
0.10 X
Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least as twice as current liabilities (i.e., Current Ration of 2 to 1).

Alterola Current Ratio Comparison

Alterola Biotech is currently under evaluation in current ratio category among its peers.

Alterola Biotech Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Alterola Biotech, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Alterola Biotech will eventually generate negative long term returns. The profitability progress is the general direction of Alterola Biotech's change in net profit over the period of time. It can combine multiple indicators of Alterola Biotech, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Alterola Biotech, Inc., a pharmaceutical company, engages in the development of cannabinoid and cannabinoid-like molecules. It focuses on the development of regulated human and animal health pharmaceuticals and regulated food products production of active pharmaceutical ingredients and food-grade ingredients and formulation and drug delivery for improved bioavailability, solubility, and stability. Alterola Biotech is traded on OTC Exchange in the United States.

Alterola Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Alterola Biotech. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Alterola Biotech position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Alterola Biotech's important profitability drivers and their relationship over time.

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Other Information on Investing in Alterola Pink Sheet

To fully project Alterola Biotech's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Alterola Biotech at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Alterola Biotech's income statement, its balance sheet, and the statement of cash flows.
Potential Alterola Biotech investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Alterola Biotech investors may work on each financial statement separately, they are all related. The changes in Alterola Biotech's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Alterola Biotech's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.