The Price to Cash Net of Current Liabilities Ratio attempts to value a company against the Cash Net of Current Liabilities that it owns. It is the share price divided by the firm’s Cash Net of Current Liabilities. This figure is computed from the latest available interim accounts.
Price to Cash net of Current Liabilities is calculated by dividing the Market Capitalisation by Total Cash (i.e. Cash & Short Term Investments) minus Current Liabilities. This ratio will be 0 if the company has net liabilities (i.e. it doesn't have enough cash at hand to cover liabilities falling due within one year) and positive if it has net cash.
As with all of our Balance Sheet Ratios, this will be based on the latest financial statements (interim or annual) but it's always important to be aware of any post-balance sheet events that may have reduced the cash balance - an acquisition or a buyback, for example. The market may be pricing in something that has not been captured by the snapshot given in the latest financial statements.
| Ticker | Name | P / Cash Net of Current Liabs | StockRank™ |
|---|---|---|---|
| LON:MTRO | Metro Bank Holdings | 0.06 | 46 |
| LON:BARC | Barclays | 0.13 | 74 |
| LON:VANQ | Vanquis Banking | 0.17 | 39 |
| LON:ARBB | Arbuthnot Banking | 0.18 | 76 |
| LON:VMUK | Virgin Money UK | 0.21 | 72 |