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Proofpoint (Proofpoint) Net-Net Working Capital : $-19.83 (As of Jun. 2021)


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What is Proofpoint 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.

Proofpoint's Net-Net Working Capital for the quarter that ended in Jun. 2021 was $-19.83.

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

PFPT's Price-to-Net-Net-Working-Capital is not ranked *
in the Software industry.
Industry Median: 7.44
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Proofpoint Net-Net Working Capital Historical Data

The historical data trend for Proofpoint'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.

Proofpoint Net-Net Working Capital Chart

Proofpoint Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -7.09 -6.09 -6.15 -11.52 -16.70

Proofpoint Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
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 -11.42 -11.55 -16.70 -19.89 -19.83

Competitive Comparison of Proofpoint's Net-Net Working Capital

For the Software - Infrastructure subindustry, Proofpoint'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.


Proofpoint's Price-to-Net-Net-Working-Capital Distribution in the Software Industry

For the Software industry and Technology sector, Proofpoint's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Proofpoint Net-Net Working Capital Calculation

Proofpoint's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2020 is calculated as

Net-Net Working Capital(A: Dec. 2020 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(910.279+0.75 * 255.39+0.5 * 0.317-2056.966
-0-0)/57.178
=-16.70

Proofpoint's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2021 is calculated as

Net-Net Working Capital(Q: Jun. 2021 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(929.306+0.75 * 204.264+0.5 * 0.432-2227.339
-0-0)/57.717
=-19.83

* 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.


Proofpoint  (NAS:PFPT) 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.


Proofpoint Net-Net Working Capital Related Terms

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


Proofpoint (Proofpoint) Business Description

Industry
Traded in Other Exchanges
N/A
Address
892 Ross Drive, Sunnyvale, CA, USA, 94089
Proofpoint Inc. is a provider of cloud-based security solutions to large- and mid-sized organizations in a wide range of industries. The firm's solutions are delivered through its security-as-a-service platform, which hosts an integrated set of on-demand data protection applications. These solutions include threat protection, incident response, regulatory compliance, archiving, governance, and secure communication capabilities. The company derives revenue from subscription fees and hardware, training, and professional services fees. A majority of the firm's revenue is generated in the United States.
Executives
Robert Darren Lee officer: EVP/GM Compliance/Digital Risk C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Gary Steele director, officer: Chairman and CEO C/O PROOFPOINT, INC., 892 ROSS DRIVE, SUNNYVALE CA 94089
David Knight officer: EVP/GM, Security Products C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Ashan Willy officer: EVP/GM-Sec Prd & Svc Grp C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Auvil Paul R. Iii officer: Chief Financial Officer C/O PROOFPOINT, INC., 892 ROSS DRIVE, SUNNYVALE CA 94089
Dana L Evan director 550 EAST TIMPANOGOS CIRCLE, *, OREM UT 84097
Blake P. Salle officer: EVP, Worldwide Sales C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Bhagwat Swaroop officer: EVP Indus. Solutions/Bus. Dev. C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Kevin Harvey director 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Richard Scott Herren director 851 WEST CYPRESS CREEK ROAD, FORT LAUDERDALE FL 33309
Leyla D. Seka director C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Kristen Gil director C/O UNITEDHEALTH GROUP, 9900 BREN ROAD EAST, MN008-T502, MINNETONKA MN 55343
Michael M Johnson director C/O PROOFPOINT, INC. 892 ROSS DRIVE SUNNYVALE CA 94089
Richard P Wallace director KLA TENCOR, 160 RIO ROBLES, SAN JOSE CA 95134
Jonathan D Feiber director 3000 SAND HILL ROAD BLDG 1, MENLO PARK CA 94025

Proofpoint (Proofpoint) Headlines

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