Quick Answer: What Is A Debt Free Company?

How much is Apple in debt?

Based on Apple’s balance sheet as of May 1, 2020, long-term debt is at $89.09 billion and current debt is at $20.42 billion, amounting to $109.51 billion in total debt.

Adjusted for $40.17 billion in cash-equivalents, the company’s net debt is at $69.33 billion..

Is Zero Debt good for a company?

On the other hand, companies with low or zero debt are in a much better shape in such a scenario. As the cash outflow through interest payment is not much, these firms are able to keep their costs to a minimum. They also have little exposure to interest rate risk as they are insulated from any rise in borrowing costs.

What are debt free companies?

A debt free company is a company which has zero debt on its balance sheet. Though leverage gives a company necessary capital to plan and execute its growth, having zero debt on its balance sheet is sign of strong financials.

What does it mean to be debt free?

It means that you do not have to worry about payments or what would happen if you were to lose your job suddenly. It can be revolutionary to think about living debt-free. A life without payments is very different from one with payments. Debt-free living means saving up for things.

Is Hul a debt free company?

Apart from robust fundamentals, enviable business model and debt-free balance sheet, HUL’s extensive distribution network, strong brand equity and vast product mix, with a large share of essential products, provide comfort. … HUL is also expected to gain market share from weaker players in the current situation.

Is ITC a zero debt company?

While zero debt on a company validates its financial health, on the other hand, a heavy debt on the company can be taken as a sign to stay away from it. Huge debt restricts a company from expanding and decreases profits. … Few of the debt free companies in India are Maruti Suzuki, ITC, Hero motocorp, Titan company etc.