Quick Ratio

The quick ratio measures a company's ability to cover short-term liabilities using its most liquid assets (cash, marketable securities, and receivables), excluding inventory.

At 0.40x, WAB has only $0.40 of quick assets for every $1 of current liabilities, indicating a thin liquidity buffer. This sits well below the sector median of 0.72x, placing the company in the 22nd percentile among peers — meaning 78% of sector firms have a stronger quick ratio. The year-over-year change is not available, but the quarter-over-quarter decline of -16.7% (from 0.48x to 0.40x) shows the ratio is actively weakening. The combination of a low level and a declining trend elevates near-term liquidity risk, as the company has less cushion to meet obligations if revenues dip. This metric contradicts the overall NEUTRAL verdict, as a deteriorating quick ratio below the sector median points to a financial weakness that warrants caution beyond a balanced outlook.

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