Quick Ratio

The quick ratio measures a company's ability to cover its short-term liabilities with its most liquid assets, excluding inventory.

ETN's current quick ratio of 0.59x means it has only $0.59 in liquid assets for every $1 of current debt, indicating potential liquidity pressure. This sits below the sector median of 0.72x, placing ETN in the 37th percentile among its peers, so the company is less liquid than most. No year-over-year or quarter-over-quarter change data is available, and no trend is provided for the last eight quarters, so the direction of the metric cannot be assessed. The combination of a low ratio relative to the sector and the absence of trend data suggests a current liquidity risk, but without a trend, it is unclear whether this risk is improving or worsening. This metric supports the overall CAUTIOUS verdict because the liquidity position is below the sector benchmark, reinforcing caution about near-term financial flexibility.

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