CAGCAUTIOUS

Quick Ratio

0.27x

Updated 8h ago

Sector Performance

11th percentile

CAG

0.27x

Sector Median

0.71x

Sector Avg

3.05x

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Deep Analysis

Conagra Brands’ current Quick Ratio of 0.27x means the company has only $0.27 in liquid assets available to cover each $1 of short-term liabilities—a measure of its ability to pay bills without selling inventory.

This is well below the sector median of 0.71x, placing CAG in the 11th percentile among peers, indicating a weaker-than-average liquidity position. The year-over-year change is not available, but quarter-over-quarter the ratio improved by 8.0%, moving from 0.25x to 0.27x. A low ratio with a slight upward trend suggests a potential risk if cash needs spike, though the improvement hints at a modest step toward better coverage. This metric directly supports the overall CAUTIOUS verdict, as the extremely low liquidity level reinforces concern about short-term financial flexibility.

Frequently Asked Questions

What does the Quick Ratio tell investors about CAG?

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 CAG's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: EXR (0.16x), NIO (0.13x), DRI (0.13x), AWK (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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CAG

0.27x

Sector Median

0.71x

Sector Avg

3.05x

How CAG's Quick Ratio compares to sector peers.

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