EIX Quick Ratio Analysis

The quick ratio measures whether a company can cover near-term liabilities with its most liquid assets, excluding inventory.

At 0.19x, EIX holds only $0.19 of cash and equivalents for every $1 of current obligations due within a year. This stands well below the sector median of 0.72x, placing the company at the 7th percentile among peers — meaning 93% of comparable firms maintain stronger short-term liquidity. No historical data is available, so the trend is undetermined; there is no YoY or QoQ change to confirm improvement or deterioration. Given the very low level and absence of trend evidence, the risk profile skews toward liquidity stress, as covering upcoming bills may require external financing or asset sales. This downside pressure partly contradicts the NEUTRAL overall verdict, which does not flag this acute balance-sheet constraint. The metric therefore serves as a cautionary point within an otherwise balanced assessment.

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