HRL Quick Ratio Analysis

The quick ratio of 0.86x means that HRL has $0.86 in liquid assets (cash, marketable securities, and receivables) for every $1 of current liabilities, indicating it can cover most short-term obligations.

This level sits above the sector median of 0.71x, placing HRL in the 60th percentile among its peers. The year-over-year change is not available, but the quarter-over-quarter decline of -7.5% shows the ratio has fallen from 0.93x to 0.86x in the most recent period. While the absolute quick ratio remains above the sector median, the downward trend over the last quarter suggests a weakening liquidity position. The combination of a level that is still above average but a declining trend points to potential risk if the pattern continues, though no immediate distress is indicated. This metric supports the overall CAUTIOUS verdict, as the erosion of liquidity warrants closer monitoring despite the current peer-relative strength.

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