Trading Below Cash

Trading Below Cash

Describing a stock with less market capitalization than cash on hand. That is, the share price times the number of shares outstanding in a company trading below cash is less than its total cash minus its debt. A company may be trading below cash if its financial prospects are poor.
References in periodicals archive ?
We believe the company should be of particular interest to value investors given that the company is currently trading below cash per share and, from our perspective, is significantly undervalued when considering the vast potential of its blockbuster drugs, recent financial improvements and strong balance sheet," concluded Mr.
BroadVision is trading below cash and NIA believes it is the biggest bargain in the market today, with an enterprise value below zero.
O2Micro has provided investors with a 55% gain since McWilliams listed it as a good speculative investment that was trading below cash value in the December Undervalued Tech Stock report.