Velocity Composites (LSE:VEL) Quick Ratio: 0.83 (As of Apr. 2026) — 55% Below Median

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LSE:VEL Velocity Composites PLC LSE:VEL
34 GF Score
Price £0.14
GF Value £0.23
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Velocity Composites Quick Ratio?

Velocity Composites LSE:VEL 34 Quick Ratio is 0.83 as of Apr. 2026, which is 55% below its 10-year median of 1.84. GuruFocus rates LSE:VEL with a GF Score™ of 34/100 and a GF Value™ of £0.23 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 359 Aerospace & Defense companies, Velocity Composites ranks worse than 78.55% on this metric.

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Velocity Composites's quick ratio for the quarter that ended in Apr. 2026 was 0.83.

Velocity Composites has a quick ratio of 0.83. It indicates that the company cannot currently fully pay back its current liabilities.

The historical rank and industry rank for Velocity Composites's Quick Ratio or its related term are showing as below:

LSE:VEL' s Quick Ratio Range Over the Past 10 Years
Min: 0.57   Med: 1.84   Max: 3.18
Current: 0.83

During the past 12 years, Velocity Composites's highest Quick Ratio was 3.18. The lowest was 0.57. And the median was 1.84.

LSE:VEL's Quick Ratio is ranked worse than
78.55% of 359 companies
in the Aerospace & Defense industry
Industry Median: 1.3 vs LSE:VEL: 0.83

Velocity Composites  (LSE:VEL) 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.


Velocity Composites Quick Ratio Related Terms


Velocity Composites Quick Ratio Historical Data

* Premium members only.

The historical data trend for Velocity Composites's Quick Ratio can be seen below:

* 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.

Velocity Composites Quick Ratio Chart

Velocity Composites Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.18 1.56 1.23 1.13 0.92

Velocity Composites Semi-Annual Data
Oct16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24 Oct24 Apr25 Oct25 Apr26
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.28 1.13 0.96 0.92 0.83

LSE:VEL vs SPCX, GE, RTX: Quick Ratio Comparison

For the Aerospace & Defense subindustry, Velocity Composites'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.


Velocity Composites Quick Ratio vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Velocity Composites's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Velocity Composites's Quick Ratio falls into.


LSE:VEL
34GF Score
Velocity Composites PLC LSE:VEL
Quick Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Velocity Composites Quick Ratio Calculation

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.

Velocity Composites's Quick Ratio for the fiscal year that ended in Oct. 2025 is calculated as

Quick Ratio (A: Oct. 2025 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(5.516-2.099)/3.699
=0.92

Velocity Composites's Quick Ratio for the quarter that ended in Apr. 2026 is calculated as

Quick Ratio (Q: Apr. 2026 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(5.347-1.937)/4.092
=0.83

* 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.

Frequently Asked Questions Learn more about Quick Ratio →
What does a Quick Ratio of 0.83 mean?
Velocity Composites (LSE:VEL) has a Quick Ratio of 0.83 as of Apr. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Velocity Composites and its competitors. This is 55% below median its historical median of 1.84. Over the past decade, Velocity Composites' Quick Ratio has ranged from 0.57 to 3.18. According to the industry distribution chart, Velocity Composites ranks #282 out of 359 companies in the Aerospace & Defense industry, placing it in the top 78.6%.
Is Velocity Composites' Quick Ratio too high?
Velocity Composites' current Quick Ratio of 0.83 is 55% below median its 10-year median of 1.84. Over the past 10 years, this metric has ranged from a low of 0.57 to a high of 3.18. The Aerospace & Defense industry median Quick Ratio is 1.30. Velocity Composites' value of 0.83 is 36.2% below this industry median. Based on the distribution chart, Velocity Composites ranks #282 out of 359 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Velocity Composites has a GF Score™ of 34/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Velocity Composites' Quick Ratio compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Velocity Composites ranks #282 out of 359 companies for Quick Ratio. This places Velocity Composites in the lower half of its industry. The industry median Quick Ratio is 1.30. Velocity Composites' value of 0.83 is 36.2% below this benchmark. Historically, Velocity Composites' own Quick Ratio has ranged from 0.57 to 3.18 over the past decade. While the company's 10-year median is 1.84 vs. the industry median of 1.30, Velocity Composites 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 an Aerospace & Defense company?
The median Quick Ratio among Aerospace & Defense companies is 1.30, based on 359 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. Velocity Composites's current Quick Ratio of 0.83 is 36.2% 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 Velocity Composites and its competitors. For the Aerospace & Defense industry, the median Quick Ratio is 1.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Velocity Composites's current Quick Ratio is 0.83, which is 55% below median its own 10-year median of 1.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Velocity Composites stock overvalued right now?
Based on GuruFocus' analysis, Velocity Composites (LSE:VEL) is currently considered Significantly Undervalued. The stock's GF Value™ is £0.23, compared to a current price of £0.14 — trading 39.1% below its estimated fair value. The current Quick Ratio is 0.83, which is 55% below median its 10-year median of 1.84 and 36.2% below the Aerospace & Defense industry median of 1.30. Velocity Composites' overall GF Score™ is 34/100 with 3 warning signs to review. 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 Velocity Composites (LSE:VEL), the current Quick Ratio is 0.83 as of Apr. 2026. 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.

Is Velocity Composites (LSE:VEL) Overvalued in 2026?

Based on GuruFocus' analysis, Velocity Composites stock appears to be undervalued. The current stock price of £0.14 is trading 39.1% below its estimated GF Value™ of £0.23. GuruFocus considers Velocity Composites to be Significantly Undervalued.

Key valuation signals for LSE:VEL:

  • Quick Ratio: 0.83 (55% below median its 10-year median of 1.84)
  • GF Value™: £0.23 vs. price of £0.14 (39.1% below fair value)
  • GF Score™: 34/100 with 3 warning signs
  • Industry Position: 36.2% below the Aerospace & Defense median (#282 of 359)

No single metric tells the full story. See the LSE:VEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Velocity Composites Business Description

Address Billington Road, AMS Technology Park, Burnley, Lancashire, GBR, BB11 5UB
Velocity Composites PLC is a provider of engineered composite and process material kits to the aerospace industry. The company's offerings include Engineered Vacuum Bag Material Kits, Structural Material Kits and other Support Services. The majority of revenue is derived from the sale of goods. Geographically, it generates the maximum revenue from the United Kingdom, and the rest from Europe, the USA and the rest of the World.
34GF Score

Get the complete analysis for LSE:VEL

Quick Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£0.14
Price
£0.23
GF Value