Quick Ratio
Updated 464h ago
Sector Performance
35th percentileMA
0.55x
Sector Median
0.71x
Sector Avg
3.05x
Deep Analysis
The current quick ratio of 0.55x means Mastercard has only $0.55 in highly liquid assets (cash, receivables, marketable securities) for every $1.00 of short-term obligations—a low cushion.
This sits below the sector median of 0.73x, placing MA at the 34th percentile among peers. Over the most recent quarter, the ratio fell 1.8% (from 0.56x to 0.55x), and the broader trend over the last eight quarters is decreasing, though year-over-year change is not available. The combination of a level well below the sector median and a declining trajectory signals heightened liquidity risk, which could pressure the stock if short-term debts become harder to service. This metric contradicts the overall NEUTRAL verdict—while the rating suggests balanced risk, the weakening quick ratio adds a specific negative factor that investors should weigh.
Frequently Asked Questions
What does the Quick Ratio tell investors about MA?
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 MA'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.
Master MA's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full MA research report →MA
0.55x
Sector Median
0.71x
Sector Avg
3.05x
How MA's Quick Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.