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TE Connectivity (NYSE:TEL) Quick Ratio

: 0.99 (As of Dec. 2022)
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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. TE Connectivity's quick ratio for the quarter that ended in Dec. 2022 was 0.99.

TE Connectivity has a quick ratio of 0.99. It indicates that the company cannot currently fully pay back its current liabilities.

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

TEL' s Quick Ratio Range Over the Past 10 Years
Min: 0.83   Med: 1.16   Max: 2.08
Current: 0.99

During the past 13 years, TE Connectivity's highest Quick Ratio was 2.08. The lowest was 0.83. And the median was 1.16.

TEL's Quick Ratio is ranked worse than
70.61% of 2416 companies
in the Hardware industry
Industry Median: 1.38 vs TEL: 0.99

TE Connectivity Quick Ratio Historical Data

The historical data trend for TE Connectivity'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.

* Premium members only.

TE Connectivity Annual Data
Trend Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22
Quick Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.98 1.05 1.04 1.02 0.99

TE Connectivity Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
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 1.03 0.88 0.90 0.99 0.99

Competitive Comparison

For the Electronic Components subindustry, TE Connectivity'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.

   

TE Connectivity Quick Ratio Distribution

For the Hardware industry and Technology sector, TE Connectivity's Quick Ratio distribution charts can be found below:

* The bar in red indicates where TE Connectivity's Quick Ratio falls in comparison to its industry or sector. The grey bar indicates the Quick Ratio's extreme value range as defined by GuruFocus.



TE Connectivity 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.

TE Connectivity's Quick Ratio for the fiscal year that ended in Sep. 2022 is calculated as

Quick Ratio (A: Sep. 2022 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(7268-2676)/4632
=0.99

TE Connectivity's Quick Ratio for the quarter that ended in Dec. 2022 is calculated as

Quick Ratio (Q: Dec. 2022 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(7318-2927)/4420
=0.99

* 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.


TE Connectivity  (NYSE:TEL) 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.


TE Connectivity Quick Ratio Related Terms

Thank you for viewing the detailed overview of TE Connectivity's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


TE Connectivity (NYSE:TEL) Business Description

TE Connectivity logo
Traded in Other Exchanges
Address
Muhlenstrasse 26, Schaffhausen, CHE, CH-8200
TE Connectivity is the largest electrical connector supplier in the world, supplying interconnect and sensor solutions to the transportation, industrial, and communications markets. With operations in 150 countries and over 500,000 stock-keeping units, TE Connectivity has a broad portfolio that forms the electrical architecture of its end customers' cutting-edge innovations.
Executives
Syaru Shirley Lin director
Aaron Kyle Stucki officer: Pres. Communications Solutions 1050 WESTLAKES DRIVE, BERWYN PA 19312
Lynn A Dugle director 4803 STONECROFT BOULEVARD, CHANTILLY VA 20151
Dawn C Willoughby director 1221 BROADWAY, OAKLAND CA 94612
Kevin N Rock officer: President, Industrial Solution 1050 WESTLAKES DRIVE, BERWYN PA 19312
David M Kerko director C/O KKR, 9 WEST 57TH STREET, 41ST FLOOR, NEW YORK NY 10019
Shadrak W Kroeger officer: Pres., Communications Solution 1050 WESTLAKES DRIVE, BERWYN PA 19312
Abhijit Y Talwalkar director ONE AMD PLACE, PO BOX 3453, SUNNYVALE CA 94088
Heath A Mitts officer: EVP & Chief Financial Officer 1925 WEST FIELD COURT, SUITE 200, LAKE FOREST IL 60045
Tim Murphy officer: SVP & CHRO 1050 WESTLAKES DRIVE, BERWYN PA 19312
Mark Trudeau director COVIDIEN PLC, 15 HAMPSHIRE STREET, MANSFIELD MA 02048
Carol Anthony Davidson director
Laura Wright director 2702 LOVE FIELD DRIVE, P.O. BOX 36611, DALLAS TX 75235-1611
John S Jenkins officer: EVP & General Counsel 1050 WESTLAKES DRIVE, BERWYN PA 19312
Bradley Alan Gambill officer: SVP, Strategy & Business Dev. 1050 WESTLAKES DRIVE, BERWYN PA 19312

TE Connectivity (NYSE:TEL) Headlines

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