Quick Ratio

Infosys’s quick ratio of 1.10x means the company has $1.10 in liquid assets (like cash and receivables) for every $1 of current liabilities due within a year — a measure of short-term financial health.

That sits below the technology sector median of 1.33x, placing Infosys in the 38th percentile among peers, indicating less liquidity than the typical sector company. The year-over-year change and the eight-quarter trend direction are not available, but the quick ratio dropped 38.9% from the prior quarter’s 1.80x to the current 1.10x. A ratio above 1.0x is still considered adequate, yet the steep quarterly decline signals a sharp reduction in liquid assets relative to short-term obligations, which could raise near-term liquidity risk. This combination of a below-median level and a large negative quarterly movement suggests elevated caution regarding Infosys’s ability to cover upcoming liabilities without selling inventory or raising cash. Given the overall BULLISH verdict on the stock, this metric contradicts that positive outlook because deteriorating liquidity is a red flag for financial stability.

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