Bright Minds Biosciences (Bright Minds Biosciences) Net-Net Working Capital : $0.99 (As of Dec. 2023)

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What is Bright Minds Biosciences 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.

Bright Minds Biosciences's Net-Net Working Capital for the quarter that ended in Dec. 2023 was $0.99.

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

DRUG's Price-to-Net-Net-Working-Capital is ranked better than
87.49% of 935 companies
in the Biotechnology industry
Industry Median: 4.2 vs DRUG: 1.08

Bright Minds Biosciences Net-Net Working Capital Historical Data

The historical data trend for Bright Minds Biosciences'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.

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Bright Minds Biosciences Net-Net Working Capital Chart

Bright Minds Biosciences Annual Data

Trend

Sep20

Sep21

Sep22

Sep23

Net-Net Working Capital

0.38

6.38

2.15

1.27

Bright Minds Biosciences Quarterly Data
	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												2.09	1.69	1.48	1.27	0.99

Competitive Comparison of Bright Minds Biosciences's Net-Net Working Capital

For the Biotechnology subindustry, Bright Minds Biosciences'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.

Bright Minds Biosciences's Price-to-Net-Net-Working-Capital Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Bright Minds Biosciences's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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

Bright Minds Biosciences Net-Net Working Capital Calculation

Bright Minds Biosciences's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Sep. 2023 is calculated as

	Net-Net Working Capital		(A: Sep. 2023 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(4.987	+	0.75 * 0	+	0.5 * 0	-	0.208
-	0	-	0)	/	3.77207
=	1.27

Bright Minds Biosciences'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)
=	(5.04	+	0.75 * 0	+	0.5 * 0	-	0.637
-	0	-	0)	/	4.46374
=	0.99

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.

Bright Minds Biosciences (NAS:DRUG) 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.

Bright Minds Biosciences Net-Net Working Capital Related Terms

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Bright Minds Biosciences (Bright Minds Biosciences) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » Bright Minds Biosciences Inc (NAS:DRUG) » Definitions » Net-Net Working Capital

Comparable Companies

Traded in Other Exchanges

DRUG:Canada

Address

19 Vestry Street, New York, NY, USA, 10013

Website

https://www.brightmindsbio.com

Bright Minds Biosciences Inc is focused on developing novel transformative treatments for neuropsychiatric disorders, epilepsy, and pain. The company has a portfolio of next-generation serotonin agonists designed to target neurocircuit abnormalities that are responsible for difficult to treat disorders such as resistant epilepsy, treatment resistant depression, PTSD, and pain. The company's drugs have been designed to potentially retain the powerful therapeutic aspects of psychedelic and other serotonergic compounds, while minimizing the side effects, thereby creating superior drugs to first-generation compounds, such as psilocybin.