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ORBCOMM (ORBCOMM) Net-Net Working Capital : $-2.60 (As of Jun. 2021)


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What is ORBCOMM 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.

ORBCOMM's Net-Net Working Capital for the quarter that ended in Jun. 2021 was $-2.60.

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

ORBC's Price-to-Net-Net-Working-Capital is not ranked *
in the Telecommunication Services industry.
Industry Median: 7.605
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

ORBCOMM Net-Net Working Capital Historical Data

The historical data trend for ORBCOMM'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.

ORBCOMM Net-Net Working Capital Chart

ORBCOMM 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 -2.32 -3.48 -2.73 -2.89 -2.68

ORBCOMM 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 -2.76 -2.68 -2.68 -2.65 -2.60

Competitive Comparison of ORBCOMM's Net-Net Working Capital

For the Telecom Services subindustry, ORBCOMM'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.


ORBCOMM's Price-to-Net-Net-Working-Capital Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, ORBCOMM's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



ORBCOMM Net-Net Working Capital Calculation

ORBCOMM'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)
=(40.384+0.75 * 51.199+0.5 * 29.987-301.43
-0.406-1.465)/78.2244
=-2.68

ORBCOMM'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)
=(29.646+0.75 * 48.627+0.5 * 26.283-284.731
-0.435-1.637)/79.6945
=-2.60

* 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.


ORBCOMM  (NAS:ORBC) 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.


ORBCOMM Net-Net Working Capital Related Terms

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


ORBCOMM (ORBCOMM) Business Description

Traded in Other Exchanges
N/A
Address
395 W. Passaic Street, Suite 325, Rochelle Park, NJ, USA, 07662
ORBCOMM Inc is a satellite communications company that primarily provides machine-to-machine communication, which is designed to track, monitor, and control fixed and mobile assets. The company operates in such markets as transportation and distribution, heavy equipment, industrial fixed assets, oil and gas, maritime, mining, and government. The company earns revenue across the United States, South America, Japan, and Europe, with the majority from the U.S. The company owns telecommunications infrastructure, specifically low Earth orbit satellites and accompanying ground infrastructure.
Executives
Karen O. Gould director C/O ORBCOMM INC. 395 W. PASSAIC STREET ROCHELLE PARK NJ 07662
Denise W. Gibson director 140 SCHOOL STREET, LIBERTYVILLE IL 60048
Milcos Constantine officer: EVP and CFO C/O ORBCOMM, INC., 395 W. PASSAIC STREET SUITE 325 ROCHELLE PARK NJ 07662
Craig Malone officer: EVP of Product Development C/O ORBCOMM INC. 395 W PASSAIC STREET, SUITE 325 ROCHELLE PARK NJ 07662
Marc Eisenberg officer: Chief Marketing Officer C/O ORBCOMM INC., 395 W PASSAIC STREET, SUITE 325, ROCHELLE PARK NJ 07662
Brun Christian Le officer: EVP, General Counsel & Sec. C/O ORBCOMM INC. 395 W PASSAIC STREET, SUITE 325 ROCHELLE PARK NJ 07662
Stolte John J Jr officer: EVP-Technology & Operations C/O ORBCOMM INC. 395 W PASSAIC STREET, SUITE 325 ROCHELLE PARK NJ 07662
Jerome B Eisenberg director, officer: Chairman, CEO and President C/O ORBCOMM INC. 395 W PASSAIC STREET, SUITE 325 ROCHELLE PARK NJ 07662
Adage Capital Partners Gp, L.l.c. 10 percent owner 200 CLARENDON STREET, 52ND FLOOR, BOSTON MA 02116
John E Major director C/O LENNOX INTERNATIONAL INC., 2140 LAKE PARK BOULEVARD, RICHARDSON TX 75080-2254
Timothy Kelleher director C/O ORBCOMM INC. 395 W PASSAIC STREET, SUITE 325 ROCHELLE PARK NJ 07662
Phillip Gross 10 percent owner 200 CLARENDON STREET, 52ND FLOOR, BOSTON MA 02116
Robert Atchinson 10 percent owner 200 CLARENDON STREET, 52ND FLOOR, BOSTON MA 02116
Adage Capital Advisors, L.l.c. 10 percent owner 200 CLARENDON STREET, 52ND FLOOR, BOSTON MA 02116
Adage Capital Partners, L.p. 10 percent owner 200 CLARENDON STREET, 52ND FLOOR, BOSTON MA 02116