GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Education » Ambow Education Holding Ltd (AMEX:AMBO) » Definitions » Net-Net Working Capital

Ambow Education Holding (Ambow Education Holding) Net-Net Working Capital : $-4.08 (As of Jun. 2023)


View and export this data going back to 2010. Start your Free Trial

What is Ambow Education Holding 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.

Ambow Education Holding's Net-Net Working Capital for the quarter that ended in Jun. 2023 was $-4.08.

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

AMBO's Price-to-Net-Net-Working-Capital is not ranked *
in the Education industry.
Industry Median: 6.9
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Ambow Education Holding Net-Net Working Capital Historical Data

The historical data trend for Ambow Education Holding'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.

Ambow Education Holding Net-Net Working Capital Chart

Ambow Education Holding Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -20.30 -39.17 -39.99 -52.98 -4.93

Ambow Education Holding Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Dec21 Jun22 Dec22 Jun23
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -38.82 -52.98 -39.96 -4.93 -4.08

Competitive Comparison of Ambow Education Holding's Net-Net Working Capital

For the Education & Training Services subindustry, Ambow Education Holding'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.


Ambow Education Holding's Price-to-Net-Net-Working-Capital Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Ambow Education Holding's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Ambow Education Holding Net-Net Working Capital Calculation

Ambow Education Holding's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2022 is calculated as

Net-Net Working Capital(A: Dec. 2022 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(3.307+0.75 * 1.983+0.5 * 0-17.644
-0-0)/2.60638
=-4.93

Ambow Education Holding's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2023 is calculated as

Net-Net Working Capital(Q: Jun. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(6.913+0.75 * 3.69+0.5 * 0-21.337
-0-0)/2.85638
=-4.08

* 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.


Ambow Education Holding  (AMEX:AMBO) 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.


Ambow Education Holding Net-Net Working Capital Related Terms

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


Ambow Education Holding (Ambow Education Holding) Business Description

Traded in Other Exchanges
N/A
Address
19925 Stevens Creek Boulevard, Cupertino, CA, USA, 95014
Ambow Education Holding Ltd is a provider of educational and career enhancement services in China. It operates through CP&CE Programs. The CP&CE Programs include tutoring services and career enhancement services. Geographically all the operations function in United States and Foreign countries.