THC Quick Ratio Analysis

The quick ratio of 0.86x shows a company has 86 cents of liquid assets (cash, marketable securities, receivables) for every dollar of short-term liabilities.

At 0.86x, this exceeds the sector median of 0.72x and places THC in the 58th percentile among peers, meaning it has better liquidity coverage than most of its sector. The year-over-year change is not available, but the quarter-over-quarter change is -5.5%, with the metric falling from 0.91x to 0.86x. A level above the sector median suggests adequate short-term financial flexibility, while the recent decline signals some erosion in that buffer. This combination of an above-average but slipping quick ratio poses a moderate risk, as the company still covers its immediate obligations but is moving in a less favorable direction. This metric supports the overall NEUTRAL verdict, as the liquidity position is neither strong enough to warrant optimism nor weak enough to raise alarm.

Frequently Asked Questions