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Veradigm (Veradigm) Net-Net Working Capital

: $0.97 (As of Sep. 2022)
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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.

Veradigm's Net-Net Working Capital for the quarter that ended in Sep. 2022 was $0.97.

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

MDRX's Price-to-Net-Net-Working-Capital is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 7.365
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Veradigm Net-Net Working Capital Historical Data

The historical data trend for Veradigm'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.

Veradigm Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Net-Net Working Capital
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -14.49 -6.47 -9.06 -3.29 -5.02

Veradigm Quarterly Data
Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22
Net-Net Working Capital 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 Premium Member Only Premium Member Only Premium Member Only -4.86 -5.02 -7.55 0.97 0.97

Competitive Comparison

For the Health Information Services subindustry, Veradigm'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.


Veradigm Price-to-Net-Net-Working-Capital Distribution

For the Healthcare Providers & Services industry and Healthcare sector, Veradigm's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Veradigm Net-Net Working Capital Calculation

Veradigm's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2021 is calculated as

Net-Net Working Capital(A: Dec. 2021 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(188.351+0.75 * 327.069+0.5 * 0-1017.091
-0-0)/116.114
=-5.02

Veradigm's Net-Net Working Capital (NNWC) per share for the quarter that ended in Sep. 2022 is calculated as

Net-Net Working Capital(Q: Sep. 2022 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(492.597+0.75 * 169.029+0.5 * 0-513.636
-0-0)/109.26
=0.97

* 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.


Veradigm  (OTCPK:MDRX) 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.


Veradigm Net-Net Working Capital Related Terms

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Veradigm (Veradigm) Business Description

Traded in Other Exchanges
N/A
Address
222 Merchandise Mart Plaza, Suite 2024, Chicago, IL, USA, 60654
Veradigm Inc is a healthcare technology company that drives value through its various combination of platforms, data, expertise, connectivity, and scale. It delivers a combination of point-of-care clinical and financial solutions. The Veradigm Network features a dynamic community of solutions and partners providing insights, technology, and data-driven solutions, all working together to transform healthcare insightfully.
Executives
Shih Yin Ho director 222 MERCHANDISE MART, SUITE 2024, CHICAGO IL 60654
Susan Rodriguez director C/O ARDELYX, INC., 34175 ARDENWOOD BLVD, SUITE 200, FREMONT CA 94555
Richard J. Poulton officer: CFO 3646 WESTFIELD LANE, GLENVIEW IL 60026
Tejal Vakharia officer: SVP Gerneral Counsel 222 MERCHANDISE MART PLZ, SUITE 2024, CHICAGO IL 60654
David B Stevens director 1 IMATION WAY, OAKDALE MN 55128
Leah Jones officer: Chief Financial Officer 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654
Paul Black director 400 WOOD ROAD, BRAINTREE MA 02184
Elizabeth Ann Altman director 10070 BARNES CANYON ROAD, SAN DIEGO CA 92121
Thomas Langan officer: President and CCO 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654
Lisa Hammond officer: SVP & Chief HR Officer 305 CHURCH AT NORTH HILLS STREET, RALEIGH NC 27609
Greg Garrison director 222 MERCHANDISE MART PLAZA, CHICAGO IL 60654
Lisa Khorey officer: Chief Client Delivery Officer 222 MERCHANDISE MART PLAZA, CHICAGO IL 60654
Michael Klayko director
Carol J Zierhoffer director 100 NORTH POINT CENTER EAST, SUITE 200, ALPHARETTA GA 30022
Brian Farley officer: SVP Gerneral Counsel & Corpora 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654

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