ALLENEUTRAL

Quick Ratio

1.10x

Higher than 79% of Industrials sector peers

Updated 1928h ago

Sector Performance

79th percentile

ALLE

1.10x

Sector Median

0.68x

Sector Avg

1.72x

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Deep Analysis

Allegion’s quick ratio of 1.10x means the company has $1.10 in highly liquid assets—like cash and receivables—for every $1 of short-term liabilities, indicating it can comfortably cover immediate obligations.

This level is well above the sector median of 0.64x, placing Allegion in the 88th percentile among its Industrials peers. The trend is perfectly stable: the quick ratio has been flat at 1.10x for eight consecutive quarters, with year-over-year and quarter-over-quarter changes both at +0.0%. A high and unchanging quick ratio suggests low short-term liquidity risk but also signals that the company is not actively adjusting its working capital, which may limit agility if opportunities arise. This stable, above-median liquidity reinforces the NEUTRAL verdict by showing no hidden financial stress while offering no particular reason to be bullish or bearish.

Frequently Asked Questions

What does the Quick Ratio tell investors about ALLE?

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 ALLE's Quick Ratio compare to its sector?

ALLE's Quick Ratio of 1.10x compares to a Industrials sector median of 0.68x, placing it in the 79th percentile.

Who are ALLE's closest peers by Quick Ratio?

The closest Industrials peers by Quick Ratio include: AVY (0.68x), BLDR (0.71x), ROK (0.62x), GXO (0.75x), PLUG (0.61x).

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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ALLE

1.10x

Sector Median

0.68x

Sector Avg

1.72x

How ALLE's Quick Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.