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Peerless Systems Corp (NAS:PRLS)
Cash to Debt Ratio
7.58 (As of Oct. 2014)

Cash to Debt Ratio measures the financial strength of a company. It is calculated as a company's cash and cash equivalents divide by its debt. Peerless Systems Corp's cash to debt ratio for the quarter that ended in Oct. 2014 was 7.58.

If Cash to Debt ratio is greater than 1, the company can pay off its debt using the cash in hand. Here we can see, Peerless Systems Corp could pay off its debt using the cash in hand for the quarter that ended in Oct. 2014.

PRLS' s 10-Year Cash to Debt Range
Min: 7.58   Max: No Debt
Current: 7.58

During the past 13 years, Peerless Systems Corp's highest Cash to Debt Ratio was No Debt. The lowest was 7.58. And the median was No Debt.

PRLS's Cash to Debtis ranked higher than
70% of the 2124 Companies
in the Global Software - Application industry.

( Industry Median: 4.63 vs. PRLS: 7.58 )

Definition

This is the ratio of a company's Cash and cash equivalents to its debt. The debt includes the Current Portion of Long-Term Debt and Long-Term Debt. This ratio measures the financial strength of a company. This ratio is updated quarterly.

Peerless Systems Corp's Cash to Debt Ratio for the fiscal year that ended in Jan. 2014 is calculated as:

Peerless Systems Corp had no debt.

Peerless Systems Corp's Cash to Debt Ratio for the quarter that ended in Oct. 2014 is calculated as:

 Cash to Debt Ratio = Cash and Cash Equivalents / Total Debt = Cash and Cash Equivalents / (Short-Term Debt + Long-Term Debt) = 11.737 / (0.826 + 0.722) = 7.58

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Explanation

If Cash to Debt ratio is greater than 1, the company can pay off its debt using the cash in hand. If it is smaller than 1, it means the company has more debt than the cash in hands. In this case, it is important to look the the company's Interest Coverage. Ben Graham requires that a company must have an Interest Coverage of at least 5.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Peerless Systems Corp Annual Data

 Jan05 Jan06 Jan07 Jan08 Jan09 Jan10 Jan11 Jan12 Jan13 Jan14 cash2debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt

Peerless Systems Corp Quarterly Data

 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 cash2debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt No Debt 7.58
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