AWKNEUTRAL

Quick Ratio

0.13x

Updated 316h ago

Sector Performance

4th percentile

AWK

0.13x

Sector Median

0.72x

Sector Avg

3.05x

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Deep Analysis

AWK's quick ratio of 0.13x means the company has only 13 cents of highly liquid assets (like cash and receivables) for every dollar of short-term obligations due within a year, indicating potential difficulty covering immediate liabilities.

This is far below the sector median of 0.73x, placing AWK in the 4th percentile among its peers—meaning 96% of sector companies have a higher quick ratio. While the eight-quarter trend direction is increasing, the quarter-over-quarter change shows a sharp decline of -50.0% from 0.26x to 0.13x; no year-over-year comparison is available. The combination of an already very low ratio and a recent steep drop points to elevated liquidity risk, which may increase borrowing costs or strain operations. This metric contradicts the overall NEUTRAL verdict, as such a weak liquidity position typically signals a higher-risk profile that would warrant a more cautious stance.

Frequently Asked Questions

What does the Quick Ratio tell investors about AWK?

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.

Who are AWK's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: EXR (0.16x), TFC (0.16x), DRI (0.13x), NIO (0.13x), SRE (0.11x).

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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AWK

0.13x

Sector Median

0.72x

Sector Avg

3.05x

How AWK's Quick Ratio compares to sector peers.

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