LKQNEUTRAL

Quick Ratio

0.50x

Updated 199h ago

Sector Performance

30th percentile

LKQ

0.50x

Sector Median

0.71x

Sector Avg

3.05x

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Deep Analysis

The quick ratio measures a company’s ability to pay short-term liabilities with its most liquid assets (cash, marketable securities, receivables) — a ratio below 1.0x can signal potential liquidity strain.

LKQ’s current quick ratio of 0.50x is well below the sector median of 0.73x and ranks in the 30th percentile among sector peers, indicating weaker liquidity than most comparable firms. Trend data are not available: the year-over-year change, quarter-over-quarter change, and historical values beyond the single 0.50x figure are all reported as N/A, so no directional pattern can be assessed. The combination of a low absolute level with no trend information means the liquidity risk is present but cannot be evaluated for improvement or deterioration. This metric supports the overall NEUTRAL verdict by confirming a notable liquidity weakness that is likely balanced by other factors in the analysis, preventing a more negative or positive stance.

Frequently Asked Questions

What does the Quick Ratio tell investors about LKQ?

A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.

How is the Quick Ratio calculated?

Quick Ratio is calculated as: (Cash + Receivables) / Current Liabilities.

Who are LKQ's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: EXR (0.16x), NIO (0.13x), DRI (0.13x), AWK (0.13x), SRE (0.11x).

The Formula

(Cash + Receivables) / Current Liabilities

Why It Matters

A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.

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LKQ

0.50x

Sector Median

0.71x

Sector Avg

3.05x

How LKQ's Quick Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.