AEE Quick Ratio Analysis

The quick ratio measures a company’s ability to cover its immediate liabilities using its most liquid assets, like cash and receivables, without relying on inventory.

At 0.17x, Ameren holds only $0.17 in liquid assets for every $1 of short-term debt, well below the sector median of 0.34x and ranking in the 11th percentile among utilities peers. The trend across the last eight quarters is decreasing, though the year-over-year and quarter-over-quarter changes are both exactly +0.0%, meaning the ratio has been flat at 0.17x for the six most recent quarters after stepping down from 0.31x two years ago. The combination of a very low quick ratio and a decreasing trend signals elevated liquidity risk, as the company has increasingly less capacity to meet short-term obligations without external financing. This metric contradicts the overall NEUTRAL verdict because a ratio this far below the sector median and persistently declining points to a financial weakness that would typically warrant caution rather than a neutral stance.

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