Sunday, 8 November 2026 Weekly snapshot · Not investment advice standard-equity.report
Balance Sheet
Net Debt
Total debt minus cash and equivalents.
Definition
Net debt is total debt minus the cash on the balance sheet that could in principle be used to repay it. A negative net debt means the company has more cash than debt.
Formula
Total Debt − Cash & Equivalents
Why it matters
Net debt is what's actually owed once existing cash is netted against borrowings. It's the figure used in enterprise value, M&A pricing, and credit analysis. A company with $5B debt and $5B cash isn't really levered at all.
How Standard Equity uses it
Used to compute enterprise value, and for net debt / EBITDA in the SE Grade's quality pillar (net cash scores full points).
The metric
| Category | Balance Sheet |
|---|---|
| Unit | $M |