CRMBULLISH

Quick Ratio

0.51x

Higher than 8% of Technology sector peers

Updated 512h ago

Sector Performance

8th percentile

CRM

0.51x

Sector Median

1.24x

Sector Avg

12.61x

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Deep Analysis

A quick ratio of 0.51x means Salesforce has only $0.51 in highly liquid assets (cash, marketable securities, receivables) for every $1 of current liabilities due within a year, signaling potential difficulty covering near-term obligations.

This places the company far below the Technology sector median of 1.32x and lands it in the 8th percentile among peers, meaning 92% of comparable firms have stronger liquidity. The year-over-year change is unavailable, but the quarter-over-quarter decline of -17.7%—from 0.62x last quarter—shows a sharp recent deterioration. Combining a very low level with a steep quarterly drop amplifies liquidity risk, as the company has less room to absorb unexpected cash demands. However, the overall NEUTRAL verdict suggests other factors—such as Salesforce’s strong recurring revenue and cash flow generation—offset this weakness. This metric alone contradicts a bullish view and supports the neutral stance by highlighting a clear vulnerability that requires monitoring.

Frequently Asked Questions

What does the Quick Ratio tell investors about CRM?

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 CRM's Quick Ratio compare to its sector?

CRM's Quick Ratio of 0.51x compares to a Technology sector median of 1.24x, placing it in the 8th percentile.

Who are CRM's closest peers by Quick Ratio?

The closest Technology peers by Quick Ratio include: MNTV (0.81x), BOX (0.80x), SONY (0.80x), ADBE (0.79x), ASML (0.70x).

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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CRM

0.51x

Sector Median

1.24x

Sector Avg

12.61x

How CRM's Quick Ratio compares to sector peers.

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