HOODNEUTRAL

HOOD Quick Ratio Analysis

0.65x

Updated 108h ago·SEC filings & market data

Key Takeaway

The quick ratio measures a company’s ability to cover near-term obligations with its most liquid assets, excluding inventory; at 0.65x, HOOD has $0.65 in liquid assets for every $1 of current liabilities.

Sector Performance

43th percentile

HOOD

0.65x

Sector Median

0.72x

Sector Avg

2.71x

Prior Period

0.66x(Jul 2026)

↓ Declining
📊

Deep Analysis

The quick ratio measures a company’s ability to cover near-term obligations with its most liquid assets, excluding inventory; at 0.65x, HOOD has $0.65 in liquid assets for every $1 of current liabilities.

This sits below the sector median of 0.72x, placing the firm at the 44th percentile among peers, meaning slightly over half of comparable companies hold stronger short-term liquidity. The year-over-year change is N/A, and the quarter-over-quarter change is -1.5%, reflecting a small dip from 0.66x to 0.65x; no longer-term trend is available. The combination of a sub-median level and a minor quarterly decline points to modest liquidity risk, but the magnitude is contained and does not signal immediate distress. This metric supports the overall NEUTRAL verdict: the 0.65x level is not far from the sector median, and the -1.5% QoQ move is too slight to shift the investment case.

Frequently Asked Questions

What does the Quick Ratio tell investors about HOOD?

A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.

How is the Quick Ratio calculated?

Quick Ratio is calculated as: (Cash + Receivables) / Current Liabilities.

Who are HOOD's closest peers by Quick Ratio?

The closest peers by Quick Ratio include: MELI (0.11x), LOW (0.10x), DRI (0.09x), NCLH (0.08x), PAYC (0.08x).

The Formula

(Cash + Receivables) / Current Liabilities

Why It Matters

A strict liquidity test. Values below 1.0 suggest a company may struggle to cover short-term obligations without selling inventory.

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HOOD

0.65x

Sector Median

0.72x

Sector Avg

2.71x

How HOOD's Quick Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.