Quick Ratio
Higher than 45% of Utilities sector peers
Updated 12h ago
Sector Performance
45th percentileAES
0.39x
Sector Median
0.50x
Sector Avg
0.50x
Deep Analysis
The quick ratio measures a company's ability to cover its short-term debts using its most liquid assets (cash, marketable securities, and receivables), excluding inventory.
At 0.39x, AES has only $0.39 in liquid assets for every $1 of current liabilities, indicating a tight liquidity position. This is below the Utilities sector median of 0.50x, placing AES at the 45th percentile among its peers. The metric has been perfectly stable over the past eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%. The combination of a low ratio (below the sector median) and no upward trend implies persistent liquidity risk with no recent improvement or deterioration. This supports the overall CAUTIOUS verdict, as the thin liquidity cushion leaves the company vulnerable to short-term cash flow disruptions.
Frequently Asked Questions
What does the Quick Ratio tell investors about AES?
A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.
How is the Quick Ratio calculated?
Quick Ratio is calculated as: (Cash + Receivables) / Current Liabilities.
How does AES's Quick Ratio compare to its sector?
AES's Quick Ratio of 0.39x compares to a Utilities sector median of 0.50x, placing it in the 45th percentile.
Who are AES's closest peers by Quick Ratio?
The closest Utilities peers by Quick Ratio include: ATO (0.61x), AEP (0.28x), PPL (0.72x), FLNC (0.73x), PNW (0.26x).
The Formula
(Cash + Receivables) / Current Liabilities
Why It Matters
A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.
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0.39x
Sector Median
0.50x
Sector Avg
0.50x
How AES's Quick Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.