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Snowflake Quick Ratio

: 3.18 (As of Apr. 2022)
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The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Snowflake's quick ratio for the quarter that ended in Apr. 2022 was 3.18.

Snowflake has a quick ratio of 3.18. It generally indicates good short-term financial strength.

The historical rank and industry rank for Snowflake's Quick Ratio or its related term are showing as below:

SNOW' s Quick Ratio Range Over the Past 10 Years
Min: 1.6   Med: 4.66   Max: 9.11
Current: 3.18

During the past 4 years, Snowflake's highest Quick Ratio was 9.11. The lowest was 1.60. And the median was 4.66.

SNOW's Quick Ratio is ranked better than
70.9% of 2715 companies
in the Software industry
Industry Median: 1.88 vs SNOW: 3.18

Snowflake Quick Ratio Historical Data

The historical data trend for Snowflake'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.

* Premium members only.

Snowflake Annual Data
Trend Jan19 Jan20 Jan21 Jan22
Quick Ratio
4.82 1.60 5.45 3.29

Snowflake Quarterly Data
Jan19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22
Quick Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.43 5.15 4.49 3.29 3.18

Competitive Comparison

For the Software - Application subindustry, Snowflake'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.

   

Snowflake Quick Ratio Distribution

For the Software industry and Technology sector, Snowflake's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Snowflake's Quick Ratio falls into.



Snowflake 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.

Snowflake's Quick Ratio for the fiscal year that ended in Jan. 2022 is calculated as

Quick Ratio (A: Jan. 2022 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(4598.643-0)/1397.093
=3.29

Snowflake's Quick Ratio for the quarter that ended in Apr. 2022 is calculated as

Quick Ratio (Q: Apr. 2022 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(4341.733-0)/1363.718
=3.18

* 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.


Snowflake  (NYSE:SNOW) 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.


Snowflake Quick Ratio Related Terms

Thank you for viewing the detailed overview of Snowflake's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Snowflake Business Description

Snowflake logo
Address
450 Concar Drive, San Mateo, CA, USA, 94402
Founded in 2012, Snowflake is a data lake, warehousing, and sharing company that came public in 2020. To date, the company has over 3,000 customers including nearly 30% of the Fortune 500 as its customers. Snowflake's data lake stores unstructured and semistructured data that can then be used in analytics to create insights stored in its data warehouse. Snowflake's data sharing capability allows enterprises to easily buy and ingest data almost instantaneously compared with a traditionally months-long process. Overall, the company is known for the fact that all of its data solutions that can be hosted on various public clouds.
Executives
Sequoia Grove Ii, Llc 10 percent owner SEQUOIA CAPITAL 2800 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Sequoia Grove Manager, Llc 10 percent owner SEQUOIA CAPITAL 2800 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Sequoia Capital Growth Fund Iii 10 percent owner 2800 SAND HILL RD, SUITE 101 MENLO PARK CA 94025
Berkshire Hathaway Inc 10 percent owner 3555 FARNAM STREET OMAHA NE 68131
Iconiq Strategic Partners V Tt Gp, Ltd. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111
Iconiq Strategic Partners V Gp, L.p. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111
Altimeter Capital Management General Partner, Llc 10 percent owner ONE INTERNATIONAL PLACE SUITE 4610 BOSTON MA 02110
Iconiq Strategic Partners V-b, L.p. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111
Iconiq Strategic Partners V, L.p. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111
Buffett Warren E 10 percent owner 3555 FARNAM ST STE 1440 OMAHA NE 68131
Iconiq Strategic Partners Iii, L.p. 10 percent owner 394 PACIFIC AVENUE, 2ND FLOOR SAN FRANCISCO CA 94111
Jacobson Matthew 10 percent owner C/O DATADOG, INC. 45TH FLOOR NEW YORK NY 10001
Iconiq Strategic Partners Iii-b, L.p. 10 percent owner 394 PACIFIC AVENUE, 2ND FLOOR SAN FRANCISCO CA 94111
Iconiq Strategic Partners Iii Gp, L.p. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111
Iconiq Strategic Partners Iii Tt Gp, Ltd. 10 percent owner 394 PACIFIC AVENUE SECOND FLOOR SAN FRANCISCO CA 94111

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