GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » Ectin Research AB (XSAT:ECTIN B) » Definitions » Net-Net Working Capital

Ectin Research AB (XSAT:ECTIN B) Net-Net Working Capital : kr0.11 (As of Mar. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Ectin Research AB 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.

Ectin Research AB's Net-Net Working Capital for the quarter that ended in Mar. 2024 was kr0.11.

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

XSAT:ECTIN B's Price-to-Net-Net-Working-Capital is ranked worse than
60.22% of 925 companies
in the Biotechnology industry
Industry Median: 4.15 vs XSAT:ECTIN B: 5.82

Ectin Research AB Net-Net Working Capital Historical Data

The historical data trend for Ectin Research AB'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.

Ectin Research AB Net-Net Working Capital Chart

Ectin Research AB Annual Data
Trend Aug19 Aug20 Dec22 Dec23
Net-Net Working Capital
0.42 0.18 0.87 0.28

Ectin Research AB Quarterly Data
Aug19 Aug20 Mar21 Sep21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.74 0.64 0.46 0.28 0.11

Competitive Comparison of Ectin Research AB's Net-Net Working Capital

For the Biotechnology subindustry, Ectin Research AB'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.


Ectin Research AB's Price-to-Net-Net-Working-Capital Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Ectin Research AB's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Ectin Research AB Net-Net Working Capital Calculation

Ectin Research AB's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2023 is calculated as

Net-Net Working Capital(A: Dec. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(5.836+0.75 * 0+0.5 * 0-2.229
-0-0)/12.6903
=0.28

Ectin Research AB's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2024 is calculated as

Net-Net Working Capital(Q: Mar. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(3.918+0.75 * 0+0.5 * 0-2.518
-0-0)/12.6903
=0.11

* 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.

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. 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.


Ectin Research AB  (XSAT:ECTIN B) 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.


Ectin Research AB Net-Net Working Capital Related Terms

Thank you for viewing the detailed overview of Ectin Research AB's Net-Net Working Capital provided by GuruFocus.com. Please click on the following links to see related term pages.


Ectin Research AB (XSAT:ECTIN B) Business Description

Traded in Other Exchanges
N/A
Address
Pepparedsleden 1, Molndal, SWE, 431 83
Ectin Research AB is a pharmaceutical company developing a novel treatment that eliminates cancer tumors. Its drug candidate MFA-370 engages in the treatment of metastatic bladder cancer, and has also shown potential in other cancers such as breast, colorectal and prostate cancer cells.

Ectin Research AB (XSAT:ECTIN B) Headlines

No Headlines