Definition
Net Debt – Total debt (loans payable and other financial liabilities, current and non-current) minus cash, cash equivalents, and short/long-term investments. A negative figure means a company holds more cash and investments than it owes, i.e. a net cash position. Used here to bridge from market capitalization to enterprise value in the Target Valuation Range section of a post. Found In: Balance Sheet, MD&A liquidity discussion, Notes to Financial Statements Formula:
Net Debt = Total Debt - (Cash & Cash Equivalents + Short-Term Investments + Long-Term Investments)