SPOTNEUTRAL

SPOT Current Ratio Analysis

2.06x

Higher than 65% of Communication Services sector peers

Updated 97h ago·SEC filings & market data

Key Takeaway

The current ratio of 2.06x means that SPOT has $2.06 in current assets for every $1.00 in current liabilities, indicating it can cover its short-term obligations more than twice over.

Sector Performance

65th percentile

SPOT

2.06x

Sector Median

1.89x

Sector Avg

2.93x

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Deep Analysis

The current ratio of 2.06x means that SPOT has $2.06 in current assets for every $1.00 in current liabilities, indicating it can cover its short-term obligations more than twice over.

This is above the Communication Services sector median of 1.89x, placing SPOT in the 65th percentile among its sector peers. Trend data is not available: the year-over-year change, quarter-over-quarter change, and last eight quarters are all reported as N/A, offering no insight into whether liquidity has been improving or deteriorating. The combination of a current ratio above the sector median with no trend information suggests a neutral liquidity position — neither a clear strength nor a weakness for investors. This metric supports the overall NEUTRAL verdict on SPOT, as the ratio is adequate but not exceptional enough to alter the stock’s risk profile.

Frequently Asked Questions

What does the Current Ratio tell investors about SPOT?

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.

How is the Current Ratio calculated?

Current Ratio is calculated as: Current Assets / Current Liabilities.

How does SPOT's Current Ratio compare to its sector?

SPOT's Current Ratio of 2.06x compares to a Communication Services sector median of 1.89x, placing it in the 65th percentile.

Who are SPOT's closest peers by Current Ratio?

The closest Communication Services peers by Current Ratio include: GOOG (1.92x), BIDU (1.85x), GOOGL (1.92x), YELP (1.74x), ZD (1.66x).

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Learn More About Current Ratio

Why Working Capital Management Matters More Than You Think

Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

The Formula

Current Assets / Current Liabilities

Why It Matters

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.