Quick Ratio

HON’s current quick ratio of 0.91x means it has 91 cents in liquid assets (cash, marketable securities, and receivables) for every dollar of short-term liabilities, a measure of its ability to pay immediate debts without selling inventory.

This places the company above the sector median of 0.72x, landing in the 63rd percentile among peers, indicating a stronger liquidity position than most comparable firms. Trend data is not available: the year-over-year change and quarter-over-quarter change are both listed as N/A, and the only historical value provided is the current 0.91x. With a ratio below 1.0x and no trend to assess, the level alone suggests modest risk of needing to rely on inventory sales or external financing to cover short-term obligations, though it is still above the sector median. The combination of a relatively strong level versus peers but an unknown trend offers neither a clear opportunity nor a definitive risk signal. This metric does not contradict the overall CAUTIOUS verdict—while the above-average quick ratio provides some support, the lack of trend data and the ratio still under 1.0x leave room for caution.

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