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Electromed (Electromed) Net-Net Working Capital : $2.72 (As of Dec. 2023)


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What is Electromed 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.

Electromed's Net-Net Working Capital for the quarter that ended in Dec. 2023 was $2.72.

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

ELMD's Price-to-Net-Net-Working-Capital is ranked better than
52.17% of 460 companies
in the Medical Devices & Instruments industry
Industry Median: 6.445 vs ELMD: 5.95

Electromed Net-Net Working Capital Historical Data

The historical data trend for Electromed'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.

Electromed Net-Net Working Capital Chart

Electromed Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.79 2.19 2.46 2.16 2.27

Electromed Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 2.20 2.20 2.27 2.45 2.72

Competitive Comparison of Electromed's Net-Net Working Capital

For the Medical Devices subindustry, Electromed'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.


Electromed's Price-to-Net-Net-Working-Capital Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Electromed's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Electromed Net-Net Working Capital Calculation

Electromed's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Jun. 2023 is calculated as

Net-Net Working Capital(A: Jun. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(7.372+0.75 * 24.13+0.5 * 4.221-8.139
-0-0)/8.55524
=2.27

Electromed's Net-Net Working Capital (NNWC) per share for the quarter that ended in Dec. 2023 is calculated as

Net-Net Working Capital(Q: Dec. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(10.434+0.75 * 22.988+0.5 * 4.76-6.622
-0-0)/8.60268
=2.72

* 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.


Electromed  (AMEX:ELMD) 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.


Electromed Net-Net Working Capital Related Terms

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


Electromed (Electromed) Business Description

Traded in Other Exchanges
N/A
Address
500 Sixth Avenue NW, New Prague, MN, USA, 56071
Electromed Inc is a United States-based company that develops, manufactures, markets and sells innovative products that provide airway clearance therapy, including the SmartVest Airway Clearance System and related products, to patients with compromised pulmonary function with a commitment to excellence and compassionate service. The SmartVest System features a programmable air pulse generator, a therapy garment worn over the upper body and a connecting hose, which together provide safe, comfortable, and effective airway clearance therapy.
Executives
Andrew Summers director 601 JEFFERSON STREET, HOUSTON TX 77002
James L. Cunniff director, officer: CEO and President 500 SIXTH AVE NW, NEW PRAGUE MN 56071
Kathleen Skarvan officer: Chief Executive Officer 40 WEST HIGHLAND PARK DR NE, HUTCHINSON MN 55350
Bradley M. Nagel officer: Chief Financial Officer 500 SIXTH AVE NW, NEW PRAGUE MN 56071
Michelle C. Wirtz officer: Chief Financial Officer 500 SIXTH AVENUE NW,, NEW PRAGUE MN 56071
Christopher G. Holland officer: Chief Commercial Officer 500 SIXTH AVENUE NW, NEW PRAGUE MN 56071
Joseph L. Galatowitsch director 500 SIXTH AVENUE NW, NEW PRAGUE MN 56071
Kathleen A Tune director 60 SOUTH SIXTH STREET, SUITE 3620, MINNEAPOLIS MN 55402
A Jones Lee director 54 LOCKE LAKE RD, FRIDLEY MN 55432
Stephen H. Craney director 25340 SANDPIPER LANE, WINONA MN 55987
Andrea M. Walsh director 500 SIXTH AVENUE NW, NEW PRAGUE MN 56071
George H. Winn director 27451 COUNTRY HOLLOWS LANE, NEW PRAGUE MN 56701
Michael Joseph Maccourt officer: Chief Financial Officer 500 SIXTH AVENUE NW, NEW PRAGUE MN 56071
Gregory Fluet director 14405 21ST AVENUE NORTH, MINNEAPOLIS MN 55447
John L Erb director C/O VASCULAR SOLUTIONS, INC., 6464 SYCAMORE COURT N., MINNEAPOLIS, MN 55369

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