VMC Quick Ratio Analysis

The quick ratio measures a company's most liquid assets—cash, marketable securities, and receivables—against its short-term liabilities.

A value of 1.05x means VMC holds $1.05 in liquid assets for every $1 of short-term debt, indicating it can cover near-term obligations without relying on inventory sales. This sits well above the sector median of 0.71x, placing VMC in the 73rd percentile of peers, so its liquidity position is stronger than most comparable firms. The year-over-year change is not available, but quarter-over-quarter the metric fell 5.4% from 1.11x to the current 1.05x, showing a recent decline. The combination of an above-median level with a moderate quarterly drop suggests liquidity is still comfortable, but the downward direction merits attention as a possible early sign of strain. This mixed picture aligns directly with the overall NEUTRAL verdict—strong enough to avoid red flags, yet weakening enough to prevent a bullish stance.

Frequently Asked Questions