Quick Ratio

The current quick ratio of 1.98x means Taiwan Semiconductor has nearly $2 in highly liquid assets (cash, marketable securities, receivables) for every $1 of short-term debt, indicating a strong ability to meet near-term obligations.

This ratio sits well above the technology sector median of 1.31x, placing TSM in the 71st percentile among sector peers, meaning it has higher liquidity than about 71% of comparable companies. Trend data is not available: the year-over-year change, quarter-over-quarter change, and the eight-quarter trend are all listed as N/A. Because the level is elevated but no trend can be evaluated, the risk of a liquidity shortfall is low, though the absence of direction leaves some uncertainty about whether this strength is improving or fading. This combination of a high quick ratio with no deteriorating trend supports the overall BULLISH verdict by confirming the company holds a solid liquidity buffer against potential cash demands.

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