Sun Microsystems: Now Trading at Cash
For Sun Microsystems (JAVA), it has come down to this: The stock is now trading for the net value of the cash and investments on its balance sheet.
As of Sept. 30, the company had $2.63 billion in short-term cash and investments. Add in $490 million in long-term investments, and back out $694 million in long-term debt, and you get net cash of $2.486 billion.
JAVA shares today have dropped another 34 cents, or 9.2 percent, to $3.38. It’s current market cap: $2.49 billion.