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Vedanta Resources (LUX:VEDAN) Net-Net Working Capital : $-81.92 (As of Mar. 2019)


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What is Vedanta Resources 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.

Vedanta Resources's Net-Net Working Capital for the quarter that ended in Mar. 2019 was $-81.92.

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

LUX:VEDAN's Price-to-Net-Net-Working-Capital is not ranked *
in the Metals & Mining industry.
Industry Median: 5.75
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Vedanta Resources Net-Net Working Capital Historical Data

The historical data trend for Vedanta Resources'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.

Vedanta Resources Net-Net Working Capital Chart

Vedanta Resources Annual Data
Trend Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18 Mar19
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -94.50 -76.68 -76.63 -80.43 -83.37

Vedanta Resources Semi-Annual Data
Sep09 Mar10 Sep10 Mar11 Sep11 Mar12 Sep12 Mar13 Sep13 Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19
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 -76.63 -74.94 -80.43 -76.43 -81.92

Competitive Comparison of Vedanta Resources's Net-Net Working Capital

For the Other Industrial Metals & Mining subindustry, Vedanta Resources'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.


Vedanta Resources's Price-to-Net-Net-Working-Capital Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Vedanta Resources's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Vedanta Resources Net-Net Working Capital Calculation

Vedanta Resources's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2019 is calculated as

Net-Net Working Capital(A: Mar. 2019 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(5225+0.75 * 1504+0.5 * 2060-24528
-0-6181)/279.78
=-83.37

Vedanta Resources's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2019 is calculated as

Net-Net Working Capital(Q: Mar. 2019 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(5225+0.75 * 1504+0.5 * 2060-24528
-0-6181)/284.753
=-81.92

* 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.


Vedanta Resources  (LUX:VEDAN) 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.


Vedanta Resources Net-Net Working Capital Related Terms

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Vedanta Resources (LUX:VEDAN) Business Description

Traded in Other Exchanges
N/A
Address
16 Berkeley Street, 5th Floor, London, GBR, W1J 8DZ
Vedanta Resources PLC is a diversified natural resource company. The group produces aluminum, copper, zinc, lead, silver, iron ore, oil and gas, and commercial energy. Vedanta has operations in India, Zambia, Namibia, South Africa, Liberia, and Australia. Copper-India/Australia is the group's largest division, generating roughly one third of revenue, closely followed by Zinc-India. The copper division comprises a copper smelter, over two refineries and over two copper rod plants in India, a copper mine in Australia, and an operation in Zambia that includes three mines, a leaching plant and a smelter.

Vedanta Resources (LUX:VEDAN) Headlines

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