PINSNEUTRAL

Quick Ratio

2.28x

Higher than 83% of Communication Services sector peers

Updated 314h ago

Sector Performance

83th percentile

PINS

2.28x

Sector Median

1.18x

Sector Avg

1.84x

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Deep Analysis

Pinterest’s quick ratio of 2.28x means it holds $2.28 in cash, marketable securities, and receivables for every $1 of current liabilities, showing strong short-term liquidity.

That is well above the Communication Services sector median of 1.44x, placing the company in the 78th percentile among peers. The year-over-year change is not available, but the metric dropped 43.1% quarter-over-quarter from 4.01x to 2.28x. Despite the steep decline, the absolute level remains high and suggests ample liquidity to cover obligations, reducing near-term financial risk. The deteriorating trend, however, signals that liquidity is being consumed faster than in the prior quarter, warranting attention to whether this is a one-time event or a pattern. This metric supports the overall BULLISH verdict because the quick ratio still stands well above the sector median and well above 1.0x, indicating the company maintains a comfortable safety buffer even after the reduction.

Frequently Asked Questions

What does the Quick Ratio tell investors about PINS?

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.

How does PINS's Quick Ratio compare to its sector?

PINS's Quick Ratio of 2.28x compares to a Communication Services sector median of 1.18x, placing it in the 83th percentile.

Who are PINS's closest peers by Quick Ratio?

The closest Communication Services peers by Quick Ratio include: NFLX (1.18x), SPOT (1.22x), DASH (0.93x), NYT (1.44x), GOOGL (0.91x).

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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PINS

2.28x

Sector Median

1.18x

Sector Avg

1.84x

How PINS's Quick Ratio compares to sector peers.

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