Quick Ratio

The quick ratio measures a company’s ability to cover short-term obligations using its most liquid assets (cash, marketable securities, and receivables).

RTX’s current quick ratio of 0.34x means it has only $0.34 of liquid assets for every $1 of current liabilities, indicating a thin liquidity cushion. This is well below the Industrials sector median of 0.68x and places RTX in the 18th percentile among its peers. The year-over-year and quarter-over-quarter changes are both listed as N/A, and the trend direction over the last eight quarters is also N/A because only one historical value (0.34x) is provided. With no trend data, the low level alone implies potential liquidity risk but offers no insight into whether the situation is improving or worsening. This weak liquidity profile supports a cautious view of the stock, yet the lack of trend prevents making a stronger negative case. Overall, the metric aligns with the NEUTRAL verdict by highlighting a key risk without sufficient directional evidence to shift the rating.

Frequently Asked Questions

Closest Sector Peers