AXONCAUTIOUS

AXON Quick Ratio Analysis

0.94x

Updated 437h ago·SEC filings & market data

Key Takeaway

The quick ratio measures a company's ability to pay its short-term debts using its most liquid assets, such as cash and receivables, excluding inventory.

Sector Performance

66th percentile

AXON

0.94x

Sector Median

0.72x

Sector Avg

3.03x

Prior Period

1.32x(May 2026)

↓ Declining

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Deep Analysis

The quick ratio measures a company's ability to pay its short-term debts using its most liquid assets, such as cash and receivables, excluding inventory.

AXON's current quick ratio of 0.94x means it has $0.94 in liquid assets for every $1 of current liabilities, indicating a slight shortfall. Compared to sector peers, this ratio sits above the sector median of 0.72x and places AXON in the 65th percentile, meaning it performs better than most peers. However, the year-over-year change is not available, and the quarter-over-quarter change shows a decline of -28.8%, dropping from 1.32x to 0.94x. While the level is still above the sector median, the steep quarterly drop signals deteriorating liquidity that could increase short-term financial risk. This combination of a ratio below 1.0x and a negative trend does not contradict the overall CAUTIOUS verdict; in fact, it reinforces the need for caution.

Frequently Asked Questions

What does the Quick Ratio tell investors about AXON?

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 AXON's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: EA (0.92x), CDW (0.92x), TPR (0.92x), TFX (0.93x), LULU (0.94x).

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Learn More About Quick Ratio

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Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

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.