Lipella PharmaceuticalsLIPO +8.43% Quick Ratio is 3.24 as of Sep. 2025, which is 30% below its 10-year median of 4.60. The stock has 1 warning sign investors should review. Among 1,416 Biotechnology companies, Lipella Pharmaceuticals ranks worse than 53.32% on this metric.
Lipella Pharmaceuticals has a quick ratio of 3.24. It generally indicates good short-term financial strength.
The historical rank and industry rank for Lipella Pharmaceuticals's Quick Ratio or its related term are showing as below:
LIPO'
s Quick Ratio Range Over the Past 10 Years
Min: 0.96 Med: 4.6 Max: 11.26
Current: 3.24
During the past 5 years, Lipella Pharmaceuticals's highest Quick Ratio was 11.26. The lowest was 0.96. And the median was 4.60.
LIPO's Quick Ratio is ranked worse than 53.32% of 1416
companies
in the Biotechnology industry
Industry Median: 3.6
vs LIPO: 3.24
Lipella Pharmaceuticals (OTCPK:LIPO) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Lipella Pharmaceuticals Quick Ratio Related Terms
Lipella Pharmaceuticals Quick Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Biotechnology subindustry, Lipella Pharmaceuticals's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lipella Pharmaceuticals Quick Ratio vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Lipella Pharmaceuticals's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Lipella Pharmaceuticals's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Lipella Pharmaceuticals's Quick Ratio for the fiscal year that ended in Dec. 2024 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lipella Pharmaceuticals (LIPO) has a Quick Ratio of 3.24 as of Sep. 2025. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Lipella Pharmaceuticals and its competitors. This is 30% below median its historical median of 4.60. Over the past decade, Lipella Pharmaceuticals' Quick Ratio has ranged from 0.96 to 11.26. According to the industry distribution chart, Lipella Pharmaceuticals ranks #755 out of 1416 companies in the Biotechnology industry, placing it in the top 53.3%.
Is Lipella Pharmaceuticals' Quick Ratio too high?
Lipella Pharmaceuticals' current Quick Ratio of 3.24 is 30% below median its 10-year median of 4.60. Over the past 10 years, this metric has ranged from a low of 0.96 to a high of 11.26. The Biotechnology industry median Quick Ratio is 3.60. Lipella Pharmaceuticals' value of 3.24 is 10% below this industry median. Based on the distribution chart, Lipella Pharmaceuticals ranks #755 out of 1416 companies in the Biotechnology industry, which is below the industry midpoint.
How does Lipella Pharmaceuticals' Quick Ratio compare to WINT and RMTG?
According to the Biotechnology industry distribution chart, Lipella Pharmaceuticals ranks #755 out of 1416 companies for Quick Ratio. This places Lipella Pharmaceuticals in the lower half of its industry. The industry median Quick Ratio is 3.60. Lipella Pharmaceuticals' value of 3.24 is 10% below this benchmark. Historically, Lipella Pharmaceuticals' own Quick Ratio has ranged from 0.96 to 11.26 over the past decade. While the company's 10-year median is 4.60 vs. the industry median of 3.60, Lipella Pharmaceuticals has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Quick Ratio for a Biotechnology company?
The median Quick Ratio among Biotechnology companies is 3.60, based on 1,416 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lipella Pharmaceuticals's current Quick Ratio of 3.24 is 10% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Lipella Pharmaceuticals and its competitors. For the Biotechnology industry, the median Quick Ratio is 3.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lipella Pharmaceuticals's current Quick Ratio is 3.24, which is 30% below median its own 10-year median of 4.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lipella Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Lipella Pharmaceuticals (LIPO) is currently considered Possible Value Trap. The stock's GF Value™ is $8.67, compared to a current price of $0.09 — trading 99% below its estimated fair value. The current Quick Ratio is 3.24, which is 30% below median its 10-year median of 4.60 and 10% below the Biotechnology industry median of 3.60. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Lipella Pharmaceuticals (LIPO), the current Quick Ratio is 3.24 as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Lipella Pharmaceuticals Inc is a clinical-stage biotechnology company. The company is focused on developing new drugs by reformulating the active agents in existing generic drugs and optimizing these reformulations for new applications. The company's product candidates include LP-10, LP-310 and LP-410, which can be helpful in the treatment of Hemorrahagic Cystitis, Oral Licen Planus and Oral Graft.
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