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Chesapeake Lodging Trust (Chesapeake Lodging Trust) Net-Net Working Capital : $-14.00 (As of Jun. 2019)


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What is Chesapeake Lodging Trust 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.

Chesapeake Lodging Trust's Net-Net Working Capital for the quarter that ended in Jun. 2019 was $-14.00.

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

CHSP's Price-to-Net-Net-Working-Capital is not ranked *
in the REITs industry.
Industry Median: 10.44
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Chesapeake Lodging Trust Net-Net Working Capital Historical Data

The historical data trend for Chesapeake Lodging Trust'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.

Chesapeake Lodging Trust Net-Net Working Capital Chart

Chesapeake Lodging Trust Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only -10.92 -13.68 -13.22 -14.46 -12.78

Chesapeake Lodging Trust Quarterly Data
Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19
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 -14.35 -12.71 -12.78 -14.06 -14.00

Competitive Comparison of Chesapeake Lodging Trust's Net-Net Working Capital

For the REIT - Hotel & Motel subindustry, Chesapeake Lodging Trust'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.


Chesapeake Lodging Trust's Price-to-Net-Net-Working-Capital Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Chesapeake Lodging Trust's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Chesapeake Lodging Trust Net-Net Working Capital Calculation

Chesapeake Lodging Trust's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2018 is calculated as

Net-Net Working Capital(A: Dec. 2018 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(71.259+0.75 * 18.36+0.5 * 0-855.099
-0-0)/60.2637
=-12.78

Chesapeake Lodging Trust's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2019 is calculated as

Net-Net Working Capital(Q: Jun. 2019 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(46.239+0.75 * 28.363+0.5 * 0-918.486
-0-0)/60.7658
=-14.00

* 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.


Chesapeake Lodging Trust  (NYSE:CHSP) 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.


Chesapeake Lodging Trust Net-Net Working Capital Related Terms

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Chesapeake Lodging Trust (Chesapeake Lodging Trust) Business Description

Traded in Other Exchanges
N/A
Address
4300 Wilson Boulevard, Suite 625, Arlington, VA, USA, 22203
Chesapeake Lodging Trust is a real estate investment trust that invests in upper-upscale hotels in business and convention markets and, selectively, premium select-service hotels in urban settings and other locations in the United States. The company operates through its hotel ownership segment. The firm's operations include management agreements, which includes partnering with third parties to manage its hotels; franchise agreements; and TRS lease agreements, which are intercompany agreements between Chesapeake's property-owning subsidiaries and its TRS lessees. The company's revenue streams include room, food and beverage, and other, of which the room segment contributes the vast majority of total revenue.
Executives
Thomas D Eckert director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
John W Hill director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
James L Francis director, officer: President & CEO 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Douglas W Vicari director, officer: EVP & CFO 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Thomas A Natelli director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
D Rick Adams officer: EVP & COO 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Jeffrey D Nuechterlein director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Graham J. Wootten officer: SVP, CAO & Secretary C/O CHESAPEAKE LODGING TRUST, 1997 ANNAPOLIS EXCHANGE PARKWAY, ANNAPOLIS MD 21401
Angelique G. Brunner director C/O CHESAPEAKE LODGING TRUST, 4300 WILSON BOULEVARD, SUITE 625, ARLINGTON VA 22203
George F Mckenzie director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Geoffrey Hulme 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
A Alex Porter 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Paul E Orlin 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Jonathan W Friedland 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Porter Orlin Llc 10 percent owner 666 FIFTH AVENUE, SUITE 3403, NEW YORK NY 10103

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