Spero Therapeutics has a quick ratio of 3.35. It generally indicates good short-term financial strength.
The historical rank and industry rank for Spero Therapeutics's Quick Ratio or its related term are showing as below:
STU:2HA'
s Quick Ratio Range Over the Past 10 Years
Min: 0.93 Med: 5.55 Max: 17.48
Current: 3.35
During the past 9 years, Spero Therapeutics's highest Quick Ratio was 17.48. The lowest was 0.93. And the median was 5.55.
STU:2HA's Quick Ratio is ranked worse than 52.14% of 1542
companies
in the Biotechnology industry
Industry Median: 3.595
vs STU:2HA: 3.35
Spero Therapeutics Quick Ratio Historical Data
The historical data trend for Spero Therapeutics'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.
Competitive Comparison of Spero Therapeutics's Quick Ratio
For the Biotechnology subindustry, Spero Therapeutics'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.
Spero Therapeutics's Quick Ratio Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Spero Therapeutics's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Spero Therapeutics's Quick Ratio falls into.
Spero Therapeutics 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.
Spero Therapeutics's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as
* 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.
Spero Therapeutics (STU:2HA) 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.
Spero Therapeutics Quick Ratio Related Terms
Thank you for viewing the detailed overview of Spero Therapeutics's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Spero Therapeutics Inc is a clinical-stage biopharmaceutical firm. It focuses on identifying, developing and commercializing novel treatments for MDR (Multi-drug-resistant) bacterial infections and rare diseases. The company's product candidate, tebipenem pivoxil hydrobromide or tebipenem HBr, is designed to be an oral carbapenem-class antibiotic for use in adults to treat MDR Gram-negative infections. It is also developing SPR720, a novel oral antibiotic designed for the treatment of a rare, orphan disease caused by pulmonary non-tuberculous mycobacterial infections, or NTM disease. Besides, it is also focused on SPR206, a next-generation polymyxin investigational product candidate, being developed as an IV-administered medicine to treat MDR Gram-negative infections in the hospital.
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