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Discover Financial Services  (NYSE:DFS) Cash-to-Debt: 0.49 (As of Jun. 2017)

Cash to Debt Ratio measures the financial strength of a company. It is calculated as a company's cash, cash equivalents, and marketable securities divide by its debt. Discover Financial Services's cash to debt ratio for the quarter that ended in Jun. 2017 was 0.49.

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, Discover Financial Services couldn't pay off its debt using the cash in hand for the quarter that ended in Jun. 2017.

NYSE:DFS' s Cash-to-Debt Range Over the Past 10 Years
Min: 0.04   Max: 6.03
Current: 0.49

0.04
6.03

During the past 13 years, Discover Financial Services's highest Cash to Debt Ratio was 6.03. The lowest was 0.04. And the median was 0.41.

NYSE:DFS's Cash-to-Debt is ranked lower than
59% of the 421 Companies
in the Global industry.

( Industry Median: 2.52 vs. NYSE:DFS: 0.49 )

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Discover Financial Services Annual Data

Nov07 Nov08 Nov09 Nov10 Nov11 Nov12 Dec13 Dec14 Dec15 Dec16
Cash-to-Debt Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.20 0.32 0.32 0.39 0.47

Discover Financial Services Quarterly Data

Aug12 Nov12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
Cash-to-Debt Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.43 0.45 0.47 0.57 0.49

Competitive Comparison
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap.


Calculation

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 & Capital Lease Obligation. This ratio measures the financial strength of a company. This ratio is updated quarterly.

Discover Financial Services's Cash to Debt Ratio for the fiscal year that ended in Dec. 2016 is calculated as:

Discover Financial Services's Cash to Debt Ratio for the quarter that ended in Jun. 2017 is calculated as:

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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


Headlines

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