What would you say about a company that has more invested into current assests t

Question

What would you say about a company that has more invested into current assests than long term assets? On the balance sheet there are zero short term investments and also no long term investments. My initial thought is that they make so much revenue that it is not needed. I copied and pasted below. Hope that gives enoughinfo.

Current Assets Cash And Cash Equivalents 2,865,000   1,901,000   2,274,000   Short Term Investments - - - Net Receivables 5,380,000   6,304,000   6,355,000   Inventory 8,266,000   8,373,000   7,864,000   Other Current Assets 1,428,000   1,192,000   1,017,000   Total Current Assets 17,939,000   17,770,000   17,510,000   Long Term Investments - - - Property Plant and Equipment 1,459,000   1,489,000   1,551,000   Goodwill - - - Intangible Assets 5,870,000   5,574,000   4,392,000   Accumulated Amortization - - - Other Assets 765,000   986,000   807,000   Deferred Long Term Asset Charges - - - Total Assets 26,033,000   25,819,000   24,260,000  

Explanation / Answer

The company is not very futuristic in its approach as there are no assets backing the future losses, also the company is high on liquidity, there would be immediate availability of liquid cash to meet short term liabilities.

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