TWLONEUTRAL

TWLO Quick Ratio Analysis

1.95x

Updated 11h ago·SEC filings & market data

Key Takeaway

The quick ratio divides a company’s most liquid assets—cash, marketable securities, and receivables—by its current liabilities, measuring its ability to cover short-term obligations without relying on inventory sales.

Sector Performance

89th percentile

TWLO

1.95x

Sector Median

0.72x

Sector Avg

2.71x

Prior Period

1.69x(Jul 2026)

↑ Improving

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Deep Analysis

At 1.95x, TWLO holds nearly twice the liquid assets needed to meet near-term debts, a strong safety margin. That level sits well above the sector median of 0.72x and places TWLO in the 90th percentile among peers. The year-over-year change is not available, but the quarter-over-quarter shift is +15.4%, with the quick ratio rising from 1.69x to 1.95x in the most recent period. Elevated liquidity plus a positive recent trend reduces near-term default risk, though the limited historical data leaves uncertainty about durability. This metric supports the overall NEUTRAL verdict: strong liquidity is a favorable attribute, but it does not by itself justify a more bullish stance.

Frequently Asked Questions

What does the Quick Ratio tell investors about TWLO?

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 TWLO's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: MELI (0.11x), LOW (0.10x), DRI (0.09x), NCLH (0.08x), PAYC (0.08x).

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Learn More About Quick Ratio

Why Working Capital Management Matters More Than You Think

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.