TXNNEUTRAL

TXN Quick Ratio Analysis

1.91x

Higher than 100% of TECHNOLOGY sector peers

Updated 77h ago·SEC filings & market data

Key Takeaway

The quick ratio measures a company’s ability to cover short-term liabilities with its most liquid assets, excluding inventory; TXN’s 1.91x means it holds $1.91 in cash, marketable securities, and receivables for every $1 of current debt.

Sector Performance

100th percentile

TXN

1.91x

Sector Median

0.81x

Sector Avg

0.97x

Prior Period

1.87x(Jul 2026)

↑ Improving
📊

Deep Analysis

The quick ratio measures a company’s ability to cover short-term liabilities with its most liquid assets, excluding inventory; TXN’s 1.91x means it holds $1.91 in cash, marketable securities, and receivables for every $1 of current debt.

This sits far above the sector median of 0.47x and places TXN at the 100th percentile among technology peers, indicating unusually strong short-term liquidity. The year-over-year change is N/A, while the quarter-over-quarter change is +2.1%, moving from 1.87x to 1.91x; the 8-quarter trend direction is also N/A, so only this recent uptick is available. The combination of a very high level with a slight quarterly increase suggests low near-term default risk, but also possible inefficiency from holding excess idle cash. This metric supports the overall NEUTRAL verdict: it confirms financial stability without pointing to a clear growth or valuation catalyst.

Frequently Asked Questions

What does the Quick Ratio tell investors about TXN?

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 TXN's Quick Ratio compare to its sector?

TXN's Quick Ratio of 1.91x compares to a TECHNOLOGY sector median of 0.81x, placing it in the 100th percentile.

Who are TXN's closest peers by Quick Ratio?

The closest TECHNOLOGY peers by Quick Ratio include: QCOM (0.81x), KLAC (1.05x), INTC (0.47x), NOW (0.39x), CSCO (0.34x).

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.

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TXN

1.91x

Sector Median

0.81x

Sector Avg

0.97x

How TXN's Quick Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.