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Net Debt An Explanation Required
I wonder if anyone would be so kind as to explain Stockopedia's net debt analysis.
Take for example PEG/ PETARDS I see its net debt column line (over consecutive years) to be 1.48….....0.089……..0.078……..0.090……- 0.94…….- 0.78.What does the (minus) – signify? What does no (minus) signify? It was a natural/instinctive assumption for me to presume that each and every net debt figure would come with a minus because debt is a minus. Thanks for any replies and excuse anynaivety shown by myself.
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3 comments
If you click on net debt it will explain it to you, here is part of it: "Net debt is the level of debt remaining assuming all cash and equivalents were used to immediately pay off debt. Please note that a negative net debt number means more cash than debt (i.e. net cash)."
So a minus is in fact a positive, ie it has more cash than debt.
Thank you very much for your time and your reply I am extremely grateful and somewhat a lot wiser now also.
You are welcome, it is a bit confusing at first.