BABA Quick Ratio Analysis
Higher than 26% of Consumer Cyclical sector peers
Updated 300h ago·SEC filings & market data
Key Takeaway
A quick ratio of 0.35x means BABA has only $0.35 of liquid assets (like cash and receivables) for every $1 of current liabilities due within a year, signaling tight short-term liquidity.
Sector Performance
26th percentileBABA
0.35x
Sector Median
0.61x
Sector Avg
2.44x
Prior Period
0.75x(May 2026)
Deep Analysis
A quick ratio of 0.35x means BABA has only $0.35 of liquid assets (like cash and receivables) for every $1 of current liabilities due within a year, signaling tight short-term liquidity.
That sits well below the sector median of 0.69x, placing BABA at the 22nd percentile among Consumer Cyclical peers, so most competitors hold more cash-like coverage. The trend data is N/A: both the year-over-year change and the quarter-over-quarter change are unavailable, leaving no evidence of improvement or deterioration over time. With a low level and no trend to confirm direction, the main risk is that BABA could struggle to meet near-term obligations if cash flow tightens; the opportunity is that a single snapshot may miss seasonal or working-capital dynamics. This metric supports the NEUTRAL verdict because the weak liquidity level is a concern, but the absence of trend data prevents a bearish call. It contradicts any positive read, yet it does not override the broader neutral stance on the stock.
Frequently Asked Questions
What does the Quick Ratio tell investors about BABA?
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 BABA's Quick Ratio compare to its sector?
BABA's Quick Ratio of 0.35x compares to a Consumer Cyclical sector median of 0.61x, placing it in the 26th percentile.
Who are BABA's closest peers by Quick Ratio?
The closest Consumer Cyclical peers by Quick Ratio include: PDD (0.61x), CZR (0.62x), BBWI (0.67x), TSLA (0.54x), PHM (0.54x).
Learn More About Quick Ratio
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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0.35x
Sector Median
0.61x
Sector Avg
2.44x
How BABA's Quick Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.