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Five tech companies sit on most of the world's cash

by on24 May 2016

$1.68 trillion Apple, Microsoft, Google, Cisco and Oracle

The Wall Street have rushed from their executive toilets screaming that five technology outfits are sitting on most of the world's cash.

Financial outfit Moody's has grumpily suggested US non-financial companies rated by Moody's held $1.68 trillion in cash at the end of 2015, up 1.8 per cent from $1.65 trillion last year,

Moody's Investors Services said the top 50 holders of cash account for $1.14 trillion of the total cash pile, and entry to the top 50 list now requires $6.12 billion in cash.

Richard Lane, a Moody's Senior Vice President said that the top five cash holders are Apple, Microsoft, Google, Cisco Systems and Oracle.

Apple held $215.7 billion in total cash for the period. The company has held the top spot as cash king since 2009.

Richard Lane, a Moody's Senior Vice President continues.

"While the concentration of cash among the top-rated cash holders continues to grow, so too has the portion held by the technology sector, which accounted for a record 46 percent of total cash in 2015, up from 41 per cent in 2014,"

Moody's expects the technology sector cash pile will get worse higher over the next year because of the sector's strong cash flow generation and despite stronger returns of capital to shareholders. The technology sector generated 63 per cent of the total rated non-financial free cash flow in 2015, up from 37 per cent in 2007.

Last modified on 24 May 2016
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