Quick Ratio
Higher than 16% of Financial Services sector peers
Updated 1876h ago
Sector Performance
16th percentileAJG
0.19x
Sector Median
0.45x
Sector Avg
3.69x
Deep Analysis
With a quick ratio of 0.19x, Arthur J.
Gallagher has only $0.19 of liquid assets (cash and receivables) for every $1 of short-term liabilities, indicating very low near-term liquidity. This sits well below the Financial Services sector median of 0.60x and places the company in the 13th percentile among peers, meaning 87% of competitors have stronger quick ratios. The trend data for this metric is not available — the year-over-year and quarter-over-quarter changes are both listed as N/A, and no historical values beyond the current figure are provided. Because the level is already critically low and there is no trend information to assess improvement or deterioration, the risk lies in the company’s limited ability to cover immediate obligations without selling inventory or raising capital. This low liquidity position contradicts the overall NEUTRAL verdict, as it introduces a specific vulnerability that would typically warrant a more cautious stance.
Frequently Asked Questions
What does the Quick Ratio tell investors about AJG?
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 AJG's Quick Ratio compare to its sector?
AJG's Quick Ratio of 0.19x compares to a Financial Services sector median of 0.45x, placing it in the 16th percentile.
Who are AJG's closest peers by Quick Ratio?
The closest Financial Services peers by Quick Ratio include: NAVI (0.45x), PFG (0.44x), RJF (0.37x), PNC (0.35x), COF (0.35x).
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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0.19x
Sector Median
0.45x
Sector Avg
3.69x
How AJG's Quick Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.