Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Verizon Communications Inc., liquidity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The liquidity profile exhibits a general downward trend over the analyzed period, characterized by ratios that consistently remain below the 1.0 threshold, except for a significant temporary spike in the final quarter of 2025. This pattern indicates a persistent reliance on operational cash flow or short-term financing to meet current obligations.
- Current Ratio
- The current ratio begins at 0.76 in March 2022 and experiences a gradual decline, reaching a low of 0.60 by June 2026. A notable anomaly occurs on December 31, 2025, where the ratio peaks at 0.91 before sharply reverting to 0.64 in the following quarter. This suggests a recurring structural deficit in current assets relative to current liabilities, interrupted by a one-time liquidity event at the end of 2025.
- Quick Ratio
- The quick ratio follows a trajectory closely aligned with the current ratio, starting at 0.54 and ending at 0.45. The ratio remains relatively stable between 0.46 and 0.54 for the majority of the period, with a significant peak of 0.74 observed in December 2025. The narrow gap between the current and quick ratios suggests that inventory levels do not constitute a substantial portion of the company's current assets.
- Cash Ratio
- The cash ratio remains consistently low, fluctuating between 0.03 and 0.09 for most of the duration. However, a substantial increase is recorded on December 31, 2025, reaching 0.31. This sharp increase correlates with the peaks in the current and quick ratios, indicating that the temporary improvement in liquidity during that period was primarily driven by an increase in cash and cash equivalents.
The synchronized peaks across all three liquidity metrics in December 2025 indicate a temporary surge in highly liquid assets. Despite this event, the long-term trend shows a contraction in liquidity, with the June 2026 figures representing the lowest points for the current and cash ratios across the entire period.
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Current Ratio
Verizon Communications Inc., current ratio calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Current assets | 37,571) | 44,723) | 56,922) | 44,010) | 38,846) | 37,353) | 40,523) | 40,641) | 38,056) | 37,957) | 36,814) | 38,119) | 37,388) | 35,722) | 37,857) | 39,746) | 37,499) | 35,580) | ||||||
| Current liabilities | 62,211) | 69,880) | 62,370) | 59,563) | 60,952) | 61,066) | 64,771) | 61,816) | 60,806) | 53,631) | 53,223) | 55,677) | 51,404) | 47,768) | 50,171) | 53,141) | 49,224) | 46,585) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Current ratio1 | 0.60 | 0.64 | 0.91 | 0.74 | 0.64 | 0.61 | 0.63 | 0.66 | 0.63 | 0.71 | 0.69 | 0.68 | 0.73 | 0.75 | 0.75 | 0.75 | 0.76 | 0.76 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Current Ratio, Competitors2 | ||||||||||||||||||||||||
| AT&T Inc. | 0.97 | 0.92 | 0.91 | 1.01 | 0.81 | 0.70 | 0.66 | 0.73 | 0.70 | 0.68 | 0.71 | 0.69 | 0.68 | 0.51 | 0.59 | 0.62 | 0.70 | 0.93 | ||||||
| T-Mobile US Inc. | 0.92 | 1.09 | 1.00 | 0.89 | 1.21 | 1.16 | 0.91 | 1.08 | 0.84 | 0.94 | 0.91 | 0.86 | 0.82 | 0.79 | 0.77 | 0.81 | 0.85 | 0.81 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Current ratio = Current assets ÷ Current liabilities
= 37,571 ÷ 62,211 = 0.60
2 Click competitor name to see calculations.
The overall liquidity position demonstrates a consistent trend where current liabilities exceed current assets, resulting in a current ratio that remains below 1.00 throughout the analyzed period. A gradual deterioration in the liquidity margin is observed from 2022 through early 2025, followed by a temporary recovery in late 2025 and a subsequent decline in 2026.
- Current Ratio Trajectory
- The current ratio began at 0.76 in early 2022 and remained relatively stable through December 2022. A period of decline followed, reaching a low of 0.61 by March 2025. A significant anomaly occurred in December 2025, where the ratio peaked at 0.91, the highest level in the series. However, this improvement was short-lived, as the ratio retreated sharply to 0.60 by June 2026, representing the lowest point in the observed timeframe.
- Current Assets and Liabilities Dynamics
- The decline in liquidity is primarily attributed to a steady increase in current liabilities, which rose from 46,585 million USD in March 2022 to a peak of 69,880 million USD in March 2026. While current assets remained largely range-bound between 35,000 million USD and 41,000 million USD for most of the period, they failed to grow at a pace commensurate with the rising obligations.
- Analysis of Periodic Volatility
- A notable spike in liquidity is observed in the second half of 2025. Current assets increased substantially, reaching 56,922 million USD by December 31, 2025, which drove the current ratio to 0.91. This suggests a temporary influx of short-term assets or a strategic cash accumulation. The rapid reversal in the first half of 2026, where assets fell back to 37,571 million USD while liabilities remained elevated, indicates that this liquidity boost was transient rather than structural.
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Quick Ratio
Verizon Communications Inc., quick ratio calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Cash and cash equivalents | 1,752) | 8,366) | 19,048) | 7,706) | 3,435) | 2,257) | 4,194) | 4,987) | 2,432) | 2,365) | 2,065) | 4,210) | 4,803) | 2,234) | 2,605) | 2,082) | 1,857) | 1,661) | ||||||
| Accounts receivable, net | 26,486) | 26,655) | 27,097) | 25,920) | 26,275) | 25,889) | 26,109) | 25,954) | 25,607) | 25,319) | 25,085) | 23,602) | 23,186) | 22,856) | 24,506) | 23,670) | 23,909) | 23,615) | ||||||
| Total quick assets | 28,238) | 35,021) | 46,145) | 33,626) | 29,710) | 28,146) | 30,303) | 30,941) | 28,039) | 27,684) | 27,150) | 27,812) | 27,989) | 25,090) | 27,111) | 25,752) | 25,766) | 25,276) | ||||||
| Current liabilities | 62,211) | 69,880) | 62,370) | 59,563) | 60,952) | 61,066) | 64,771) | 61,816) | 60,806) | 53,631) | 53,223) | 55,677) | 51,404) | 47,768) | 50,171) | 53,141) | 49,224) | 46,585) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Quick ratio1 | 0.45 | 0.50 | 0.74 | 0.56 | 0.49 | 0.46 | 0.47 | 0.50 | 0.46 | 0.52 | 0.51 | 0.50 | 0.54 | 0.53 | 0.54 | 0.48 | 0.52 | 0.54 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Quick Ratio, Competitors2 | ||||||||||||||||||||||||
| AT&T Inc. | 0.49 | 0.40 | 0.50 | 0.54 | 0.40 | 0.34 | 0.28 | 0.29 | 0.30 | 0.29 | 0.33 | 0.32 | 0.35 | 0.22 | 0.27 | 0.26 | 0.31 | 0.68 | ||||||
| T-Mobile US Inc. | 0.54 | 0.65 | 0.63 | 0.53 | 0.86 | 0.88 | 0.70 | 0.84 | 0.64 | 0.73 | 0.68 | 0.64 | 0.65 | 0.58 | 0.57 | 0.62 | 0.62 | 0.58 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 28,238 ÷ 62,211 = 0.45
2 Click competitor name to see calculations.
The liquidity profile demonstrates a consistent trend where current liabilities exceed quick assets, resulting in a quick ratio that remains predominantly below 1.00 throughout the analyzed period.
- Total Quick Assets Trend
- Quick assets remained relatively stable between US$ 25 billion and US$ 31 billion for the majority of the timeframe. A significant outlier occurred on December 31, 2025, where assets peaked at US$ 46.1 billion, before returning to US$ 28.2 billion by June 30, 2026.
- Current Liabilities Trend
- An upward trajectory in short-term obligations is observed. Current liabilities increased from US$ 46.6 billion in March 2022 to a peak of US$ 69.9 billion in March 2026, reflecting an overall expansion of the company's short-term liabilities over the observed period.
- Quick Ratio Analysis
- The quick ratio fluctuated within a narrow range of 0.46 to 0.56 for most quarters, indicating a stable but constrained liquidity position. The ratio reached a period high of 0.74 in December 2025, which directly correlates with the surge in quick assets recorded during that quarter. However, the ratio declined to a period low of 0.45 by June 30, 2026, as quick assets decreased while liabilities remained elevated.
The observed patterns suggest a gradual tightening of immediate liquidity. The growth in current liabilities has generally outpaced the growth in quick assets, with the exception of a temporary spike in late 2025, leading to a overall lower capacity to meet short-term obligations using only the most liquid assets by the end of the period.
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Cash Ratio
Verizon Communications Inc., cash ratio calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Cash and cash equivalents | 1,752) | 8,366) | 19,048) | 7,706) | 3,435) | 2,257) | 4,194) | 4,987) | 2,432) | 2,365) | 2,065) | 4,210) | 4,803) | 2,234) | 2,605) | 2,082) | 1,857) | 1,661) | ||||||
| Total cash assets | 1,752) | 8,366) | 19,048) | 7,706) | 3,435) | 2,257) | 4,194) | 4,987) | 2,432) | 2,365) | 2,065) | 4,210) | 4,803) | 2,234) | 2,605) | 2,082) | 1,857) | 1,661) | ||||||
| Current liabilities | 62,211) | 69,880) | 62,370) | 59,563) | 60,952) | 61,066) | 64,771) | 61,816) | 60,806) | 53,631) | 53,223) | 55,677) | 51,404) | 47,768) | 50,171) | 53,141) | 49,224) | 46,585) | ||||||
| Liquidity Ratio | ||||||||||||||||||||||||
| Cash ratio1 | 0.03 | 0.12 | 0.31 | 0.13 | 0.06 | 0.04 | 0.06 | 0.08 | 0.04 | 0.04 | 0.04 | 0.08 | 0.09 | 0.05 | 0.05 | 0.04 | 0.04 | 0.04 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Cash Ratio, Competitors2 | ||||||||||||||||||||||||
| AT&T Inc. | 0.33 | 0.24 | 0.34 | 0.38 | 0.22 | 0.14 | 0.07 | 0.06 | 0.07 | 0.08 | 0.13 | 0.15 | 0.18 | 0.05 | 0.07 | 0.05 | 0.08 | 0.47 | ||||||
| T-Mobile US Inc. | 0.12 | 0.17 | 0.23 | 0.14 | 0.46 | 0.51 | 0.27 | 0.47 | 0.28 | 0.33 | 0.25 | 0.23 | 0.27 | 0.19 | 0.18 | 0.26 | 0.15 | 0.15 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 1,752 ÷ 62,211 = 0.03
2 Click competitor name to see calculations.
The overall liquidity position, as measured by the cash ratio, remains consistently low throughout the majority of the observed period, indicating a financial structure that maintains minimal immediate cash reserves relative to short-term obligations.
- Cash Asset Volatility
- Cash assets exhibit significant fluctuations, typically ranging between $1.66 billion and $4.99 billion. A substantial and anomalous increase is observed in December 2025, where cash assets peaked at $19.05 billion, before sharply declining to $1.75 billion by June 2026.
- Current Liability Trends
- There is a sustained upward trend in current liabilities, which rose from $46.59 billion in March 2022 to a peak of $69.88 billion in March 2026. This steady increase in short-term obligations has served to compress the cash ratio over the long term.
- Cash Ratio Analysis
- The cash ratio predominantly oscillates between 0.03 and 0.09, reflecting a limited capacity to cover current liabilities using only cash and cash equivalents. A temporary spike to 0.31 occurred in December 2025, driven by the surge in total cash assets. This peak was short-lived, with the ratio retreating to 0.03 by June 2026, returning to the baseline levels seen at the start of the period.
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