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FactSet Research Systems Quick Ratio

: 2.81 (As of Aug. 2019)
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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. FactSet Research Systems's quick ratio for the quarter that ended in Aug. 2019 was 2.81.

FactSet Research Systems has a quick ratio of 2.81. It generally indicates good short-term financial strength.

NYSE:FDS' s Quick Ratio Range Over the Past 10 Years
Min: 1.95   Max: 4.9
Current: 2.81

1.95
4.9

During the past 13 years, FactSet Research Systems's highest Quick Ratio was 4.90. The lowest was 1.95. And the median was 2.69.

NYSE:FDS's Quick Ratio is ranked higher than
69% of the 440 Companies
in the Brokers & Exchanges industry.

( Industry Median: 1.75 vs. NYSE:FDS: 2.81 )

FactSet Research Systems Quick Ratio Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

FactSet Research Systems Annual Data
Aug10 Aug11 Aug12 Aug13 Aug14 Aug15 Aug16 Aug17 Aug18 Aug19
Quick Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.18 2.33 2.04 1.95 2.81

FactSet Research Systems Quarterly Data
Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16 Feb17 May17 Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19
Quick Ratio 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 Premium Member Only Premium Member Only Premium Member Only 1.95 2.49 2.45 2.87 2.81

Competitive Comparison
* 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.


FactSet Research Systems Quick Ratio Distribution

* The bar in red indicates where FactSet Research Systems's Quick Ratio falls into.



FactSet Research Systems 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.

FactSet Research Systems's Quick Ratio for the fiscal year that ended in Aug. 2019 is calculated as

Quick Ratio (A: Aug. 2019 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(583.812-0)/207.441
=2.81

FactSet Research Systems's Quick Ratio for the quarter that ended in Aug. 2019 is calculated as

Quick Ratio (Q: Aug. 2019 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(583.812-0)/207.441
=2.81

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.


FactSet Research Systems  (NYSE:FDS) 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.


FactSet Research Systems Quick Ratio Related Terms


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