# Balance Sheet

Contents

- Cash
- Cash Ratio (Premium Plus)
- Cash & Short‑term %
- Cash as a % of Market Cap (Premium)
- Cash to Total Assets (Premium Plus)
- Current Ratio
- Days Inventory
- Days Sales Outstanding
- Debt / Assets (Premium Plus)
- Debt / Equity
- Debt / Net Current Assets (Premium Plus)
- Equity
- Intangibles %
- Interest Coverage
- Inventory %
- Long Term Debt
- Long Term Debt / Total Capital
- Net Cash as a % of Market Cap (Premium)
- Quick Ratio
- Receivables %
- Solvency Ratio (Premium Plus)
- Tangible Equity

## Cash

Unit: Millions of Dollars

The total of cash and short-term investments as of the last reported quarter.

## Cash Ratio (Premium Plus)

Unit: Ratio

The cash ratio is a liquidity ratio that measures a company’s ability to pay off short-term liabilities with highly liquid assets. This the most conservative measure of a company’s liquidity position and a ratio of at least 0.5 to one is often preferred. A ratio above 1 means that the company will be able to pay off its current liabilities with cash and cash equivalents but excess cash may also be inefficient.

## Cash & Short‑term %

Unit: Percentage

The sum of cash and short term investments as a percent of total assets.

## Cash as a % of Market Cap (Premium)

Unit: Percentage

Cash and short-term investments as a percent of market capitalization. Financial institutions report cash differently than other companies so this metric should only be used to compare similar businesses.

## Cash to Total Assets (Premium Plus)

Unit: Ratio

Cash divided by Total Assets is a liquidity measurement for the portion of a company’s assets held in cash or marketable securities. Although a high ratio may indicate some degree of safety from a creditor’s viewpoint, excess amounts of cash may be viewed as inefficient.

## Current Ratio

Unit: Ratio

A measures of the company’s ability to pay short-term obligations, calculated as current assets divided by current liabilities. As a rule of thumb, safe investments have a current ratio above 2.

## Days Inventory

Unit: Number

An efficiency measure estimating how many days it might take to sell the current inventory. This is effectively the number of days an item is held as inventory before it is sold.

## Days Sales Outstanding

Unit: Number

An efficiency measure showing the average number of days to collect revenue after a sale has been made.

## Debt / Assets (Premium Plus)

Unit: Ratio

This broad measure of financial leverage compares a companies debt to its assets. Both long term and short term debt is included, as are intangible assets.

## Debt / Equity

Unit: Ratio

Debt/Equity is sometimes called D/E, Financial Leverage, or Gearing and it is the ratio of Total Debt to Equity. A high ratio indicates a risky business and a low ratio makes a buyout more likely.

## Debt / Net Current Assets (Premium Plus)

Unit: Ratio

Total Debt divided by the difference between Current Assets and Current Liabilities

## Equity

Unit: Millions of Dollars

Total assets minus total liabilities, preferred stock and intangibles (such as goodwill). Equity is commonly used as an indicator of the company’s net worth or book value.

## Intangibles %

Unit: Percentage

Intangibles as a percent of total assets shows how great a portion of the company’s value is in hard-to-value, non-physical assets.

## Interest Coverage

Unit: Ratio

Interest Coverage calculates a company’s ability to make payments on debt. It is computed as earnings before interest and taxes divided by interest expense.

## Inventory %

Unit: Percentage

Inventory as a percent of current assets is an efficiency measure, the lower the better.

## Long Term Debt

Unit: Millions of Dollars

The sum of all a company’s loans or financial obligations lasting more than one year, as stated in the last reported quarter.

## Long Term Debt / Total Capital

Unit: Ratio

This variation of the traditional Debt / Equity Ratio computes the proportion of a company’s long term debt divided by its available capital. Capital includes both equity and debt.

## Net Cash as a % of Market Cap (Premium)

Unit: Percentage

Cash and short-term investments minus total debt as a percent of market capitalization. Financial institutions report cash differently than other companies so this metric should only be used to compare similar businesses.

## Quick Ratio

Unit: Ratio

Quick ratio is also called acid-test or liquid ratio and it measures a company’s ability to meet its short-term obligations with its most liquid assets. It is calculated as (Current Assets – Inventory) / Current Liabilities. As a rule of thumb, safe investments have a quick ratio above 1.

## Receivables %

Unit: Percentage

Receivables as a percent of current assets is an efficiency measure, the lower the better.

## Solvency Ratio (Premium Plus)

Unit: Percentage

The solvency ratio is a measure of whether a company generates enough cash to stay solvent. It is calculated by summing net income and depreciation and dividing by current liabilities and long term debt. A value above 20% is considered good.

## Tangible Equity

Unit: Millions of Dollars

The company’s total net worth or book value minus certain intangible assets that would have little or no value in the event of liquidation.