Whole Foods Market (Whole Foods Market) Net-Net Working Capital : $-5.40 (As of Jun. 2017)

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What is Whole Foods Market 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.

Whole Foods Market's Net-Net Working Capital for the quarter that ended in Jun. 2017 was $-5.40.

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

WFM's Price-to-Net-Net-Working-Capital is not ranked ^*
in the Retail - Defensive industry.
Industry Median: 8.64
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Whole Foods Market Net-Net Working Capital Historical Data

The historical data trend for Whole Foods Market'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.

Whole Foods Market Net-Net Working Capital Chart

Whole Foods Market Annual Data

Trend

Sep07

Sep08

Sep09

Sep10

Sep11

Sep12

Sep13

Sep14

Sep15

Sep16

Net-Net Working Capital

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0.17

-0.78

-2.27

-3.34

-6.12

Whole Foods Market Quarterly Data
	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17
Net-Net Working Capital	Get a 7-Day Free Trial															-6.16	-6.12	-5.97	-5.71	-5.40

Competitive Comparison of Whole Foods Market's Net-Net Working Capital

For the Grocery Stores subindustry, Whole Foods Market'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.

Whole Foods Market's Price-to-Net-Net-Working-Capital Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Whole Foods Market's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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

Whole Foods Market Net-Net Working Capital Calculation

Whole Foods Market's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Sep. 2016 is calculated as

	Net-Net Working Capital		(A: Sep. 2016 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(730	+	0.75 * 242	+	0.5 * 517	-	3117
-	0	-	0)	/	318.3
=	-6.12

Whole Foods Market's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2017 is calculated as

	Net-Net Working Capital		(Q: Jun. 2017 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(999	+	0.75 * 246	+	0.5 * 483	-	3152
-	0	-	0)	/	320.1
=	-5.40

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.

Whole Foods Market (NAS:WFM) 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.

Whole Foods Market Net-Net Working Capital Related Terms

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Whole Foods Market (Whole Foods Market) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » Whole Foods Market Inc (NAS:WFM) » Definitions » Net-Net Working Capital

Comparable Companies

Traded in Other Exchanges

N/A

Address

Website

http://www.wholefoodsmarket.com

Whole Foods Market is the world's leading retailer of natural and organic foods by units and is the first certified organic grocer in the United States. Whole Foods' only operating segment consists of natural and organic foods supermarkets. As of fiscal 2016, the company had 456 stores in the United States, Canada, and the United Kingdom. The average store size is about 39,000 square feet. About 15% of the company's sales were derived from the sale of private-label products. The company announced a pending acquisition by Amazon in June 2017.

Executives

Scott F Powers	director	STATE STREET CORPORATION, ONE LINCOLN STREET, BOSTON MA 02111
Sharon Mccollam	director	C/O OFFICEMAX INCORPORATED, 263 SHUMAN BLVD., NAPERVILLE IL 60563
Ken C Hicks	director	150 N. ORANGE GROVE BLVD, PASADENA CA 91103
Mary Ellen Coe	director	2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Gabrielle Sulzberger	director	450 LEXINGTON AVENUE, FLOOR 13, NEW YORK NY 10017
Glenda J Flanagan	officer: Executive Vice President	550 BOWIE STREET, AUSTIN TX 78703
Joseph D Mansueto	director	C/O MORNINGSTAR, INC., 225 WEST WACKER DRIVE, CHICAGO IL 60606
Robb Walter E Iv	director	550 BOWIE STREET, AUSTIN TX 78703
Ralph Z Sorenson	director	WHOLE FOODS MARKET, INC. 550 BOWIE STREET AUSTIN TX 78703
William A Tindell	director	500 FREEPORT PARKWAY, COPPELL TX 75019
Green Equity Investors V, L.p.	other: See General Remarks.	11111 SANTA MONICA BOULEVARD, SUITE 2000, LOS ANGELES CA 90025
Gei Capital V, Llc	other: See General Remarks.	11111 SANTA MONICA BOULEVARD, SUITE 2000, LOS ANGELES CA 90025
Green Equity Investors Side V, L.p.	other: See General Remarks.	11111 SANTA MONICA BOULEVARD, SUITE 2000, LOS ANGELES CA 90025
Green V Holdings, Llc	other: See General Remarks.	11111 SANTA MONICA BOULEVARD, SUITE 2000, LOS ANGELES CA 90025
Lgp Management Inc	other: See General Remarks.	11111 SANTA MONICA BLVD, STE 2000, LOS ANGELES CA 90025