LookSmart (FRA:LOKB) Net-Net Working Capital : €-20.31 (As of Jun. 2015)

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What is LookSmart Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

LookSmart's Net-Net Working Capital for the quarter that ended in Jun. 2015 was €-20.31.

The industry rank for LookSmart's Net-Net Working Capital or its related term are showing as below:

FRA:LOKB's Price-to-Net-Net-Working-Capital is not ranked ^*
in the Interactive Media industry.
Industry Median: 5.31
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

LookSmart Net-Net Working Capital Historical Data

The historical data trend for LookSmart's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

LookSmart Net-Net Working Capital Chart

LookSmart Annual Data

Trend

Dec05

Dec06

Dec07

Dec08

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Net-Net Working Capital

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113.81

123.63

76.66

22.00

-10.54

LookSmart Quarterly Data
	Sep10	Dec10	Mar11	Jun11	Sep11	Dec11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15
Net-Net Working Capital	Get a 7-Day Free Trial															1.72	-3.81	-10.54	-18.99	-20.31

Competitive Comparison of LookSmart's Net-Net Working Capital

For the Internet Content & Information subindustry, LookSmart's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* 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. Note that "N/A" values will not show up in the chart.

LookSmart's Price-to-Net-Net-Working-Capital Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, LookSmart's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where LookSmart's Price-to-Net-Net-Working-Capital falls into.

LookSmart Net-Net Working Capital Calculation

LookSmart's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2014 is calculated as

	Net-Net Working Capital		(A: Dec. 2014 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(0.352	+	0.75 * 0.207	+	0.5 * 0	-	1.897
-	0	-	0)	/	0.13182
=	-10.54

LookSmart's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2015 is calculated as

	Net-Net Working Capital		(Q: Jun. 2015 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(0.494	+	0.75 * 0.261	+	0.5 * 0	-	3.307
-	0	-	0)	/	0.12885
=	-20.31

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.

LookSmart (FRA:LOKB) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.

LookSmart Net-Net Working Capital Related Terms

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LookSmart (FRA:LOKB) Business Description

Industry

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Comparable Companies

Traded in Other Exchanges

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Address

Website

http://www.looksmart.com

LookSmart Ltd was organized in 1996 and is incorporated in the State of Delaware. The Company is a search advertising network solutions Company that provides relevant solutions for search advertising customers. It operates in a large online search advertising ecosystem serving ads that target user queries on partner sites. It operates in the middle of this ecosystem, acquiring search queries from a variety of sources and matching them with the keywords of its search advertising customers. The Companys largest category of customers has been intermediaries, the majority of which purchase clicks to sell into the affiliate networks of the large search engine providers. Another category of customers are direct advertisers and their agencies whose objective is to obtain conversions or sales from the clicks. The last category of customers is self-service advertisers that sign-up online and pays by credit card. It offers search advertising customers targeted, pay-per-click (PPC) search via a monitored search advertising distribution network using the Companys AdCenter platform technology. The Companys search advertising network includes publishers and search advertising customers, including intermediaries and direct advertising customers and their agencies as well as self-service customers in the United States and certain other countries. The Companys application programming interface (API) allows search advertising customers and their advertising agencies to connect any type of marketing or reporting software with minimal effort for easier access, management, and optimization of search advertising campaigns. It also offers publishers licensed private-label search advertiser network solutions based on its AdCenter platform technology (Publisher Solutions). Publisher Solutions consist of hosted auction-based ad serving with an ad backfill capability that allows publishers and portals to manage their advertiser relationships, distribution channels and accounts. The Companys trademarks include LookSmart. It is subject to a number of domestic state and federal laws that affect companies conducting business on the Internet.