NVDANEUTRAL

NVDA Quick Ratio Analysis

1.23x

Higher than 45% of Technology sector peers

Updated 249h ago·SEC filings & market data

Key Takeaway

The quick ratio measures whether a company has enough easily-convertible cash and short-term assets to cover its near-term bills, excluding inventory.

Sector Performance

45th percentile

NVDA

1.23x

Sector Median

1.25x

Sector Avg

17.80x

Prior Period

2.76x(Jun 2026)

↓ Declining

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Deep Analysis

The quick ratio measures whether a company has enough easily-convertible cash and short-term assets to cover its near-term bills, excluding inventory.

At 1.23x, NVIDIA holds $1.23 of liquid assets for every $1 of current liabilities, indicating adequate short-term financial flexibility. This sits almost exactly at the sector median of 1.24x, with the company at the 47th percentile among technology peers. The trend is N/A, with both the year-over-year and quarter-over-quarter changes not available, so no directional information can be drawn from this data point. An average liquidity level with no visible trend implies limited short-term solvency risk, though it offers no momentum signal for the investment case. This metric supports the overall BULLISH verdict because the company’s liquidity position is neither strained nor a constraint on its operations.

Frequently Asked Questions

What does the Quick Ratio tell investors about NVDA?

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.

How does NVDA's Quick Ratio compare to its sector?

NVDA's Quick Ratio of 1.23x compares to a Technology sector median of 1.25x, placing it in the 45th percentile.

Who are NVDA's closest peers by Quick Ratio?

The closest Technology peers by Quick Ratio include: APH (1.17x), BR (1.08x), ASAN (1.04x), ORCL (1.00x), AAPL (0.91x).

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Learn More About Quick Ratio

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Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

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.