Cash on hand minus borrowings
Net cash is cash and near-cash assets minus interest-bearing debt. A positive figure means money would be left over even after repaying all debt. A negative figure means debt is larger, and the gap is called net debt. A cash-rich company is seen as better able to ride out a downturn, but it can also be seen as sitting on money it has no use for.
A company with $50 billion in cash and $20 billion of interest-bearing debt has net cash of $30 billion.
For learning, not investment advice. Decisions are your own.
StockFit · TrueNorthLabs Inc.