Simplicity Esports and Gaming Co (Simplicity Esports and Gaming Co) Net-Net Working Capital : $-0.45 (As of Feb. 2023)

View and export this data going back to 2017. Start your Free Trial

What is Simplicity Esports and Gaming Co 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.

Simplicity Esports and Gaming Co's Net-Net Working Capital for the quarter that ended in Feb. 2023 was $-0.45.

The industry rank for Simplicity Esports and Gaming Co's Net-Net Working Capital or its related term are showing as below:

WINR's Price-to-Net-Net-Working-Capital is not ranked ^*
in the Interactive Media industry.
Industry Median: 5.35
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Simplicity Esports and Gaming Co Net-Net Working Capital Historical Data

The historical data trend for Simplicity Esports and Gaming Co'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.

Simplicity Esports and Gaming Co Net-Net Working Capital Chart

Simplicity Esports and Gaming Co Annual Data

Trend

May17

May18

May19

May20

May21

May22

Net-Net Working Capital

Get a 7-Day Free Trial

-1.89

-0.40

-3.40

-3.61

-4.04

Simplicity Esports and Gaming Co Quarterly Data
	May18	Aug18	Nov18	Feb19	May19	Aug19	Nov19	Feb20	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23
Net-Net Working Capital	Get a 7-Day Free Trial															-3.81	-4.04	-2.66	-1.25	-0.45

Competitive Comparison of Simplicity Esports and Gaming Co's Net-Net Working Capital

For the Electronic Gaming & Multimedia subindustry, Simplicity Esports and Gaming Co'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.

Simplicity Esports and Gaming Co's Price-to-Net-Net-Working-Capital Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Simplicity Esports and Gaming Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Simplicity Esports and Gaming Co's Price-to-Net-Net-Working-Capital falls into.

Simplicity Esports and Gaming Co Net-Net Working Capital Calculation

Simplicity Esports and Gaming Co's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in May. 2022 is calculated as

	Net-Net Working Capital		(A: May. 2022 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(0.103	+	0.75 * 0.061	+	0.5 * 0.115	-	7.673
-	0	-	-0.079)	/	1.83082
=	-4.04

Simplicity Esports and Gaming Co's Net-Net Working Capital (NNWC) per share for the quarter that ended in Feb. 2023 is calculated as

	Net-Net Working Capital		(Q: Feb. 2023 )
=	(Cash, Cash Equivalents, Marketable Securities	+	0.75 * Accounts Receivable	+	0.5 * Total Inventories	-	Total Liabilities
-	Preferred Stock	-	Minority Interest)	/	Shares Outstanding (EOP)
=	(0.029	+	0.75 * 0.029	+	0.5 * 0	-	9.569
-	0	-	0.151)	/	21.6864
=	-0.45

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.

Simplicity Esports and Gaming Co (OTCPK:WINR) 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.

Simplicity Esports and Gaming Co Net-Net Working Capital Related Terms

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

Simplicity Esports and Gaming Co (Simplicity Esports and Gaming Co) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Interactive Media » Simplicity Esports and Gaming Co (OTCPK:WINR) » Definitions » Net-Net Working Capital

Comparable Companies

Traded in Other Exchanges

N/A

Address

7000 W. Palmetto Park Road, Suite 505, Boca Raton, FL, USA, 33433

Website

https://www.ggsimplicity.com

Simplicity Esports and Gaming Co is a North American esports organization managing esports teams domestically and internationally. The company through its subsidiaries owns and manages professional esports teams competing in games such as Overwatch, Apex Legends, PUBG, and more. The company owns Corporate and Franchised Gaming Centers. The company reports in Four segments namely Franchise royalties and fees, which is the key revenue generator; Company-owned stores; Esports revenue; and Franchise deposit revenue.

Executives

Beatrice Tarka	director	800 WEST EL CAMINO REAL, SUITE 275, MOUNTAIN VIEW CA 94040
Roman Nehemiah Franklin	director, officer: President	1345 AVENUE OF THE AMERICAS, 2ND FLOOR, NEW YORK NY 10105
Herrmann William H Jr	director	PO BOX 6, BRYN ATHYN PA 19009
Jed Philip Kaplan	director, officer: CEO and Interim CFO	C/O SIMPLICITY ESPORTS AND GAMING CO., 7000 W PALMETTO PARK ROAD SUITE 210, BOCA RATON FL 33433
Edward L Jaroski	director	5847 SAN FELIPE, SUITE 4100, HOUSTON TX 77057
Nancy L. Hennessey	officer: Chief Financial Officer	7000, W. PALMETTO PARK RD, SUITE 505, BOCA RATON FL 33433
Laila Cavalcanti Loss	director	7000W PALMETTO PARK RD, SUITE 505, BOCA RATON FL 33433
Lau Knicks	officer: Chief Financial Officer	1980 FESTIVAL PLAZA DR., SUITE 750, LAS VEGAS NV 89135
Polar Asset Management Partners Inc.	10 percent owner	16 YORK STREET SUITE 2900, TORONTO A6 M5J 0E6
K2 Principal Fund, L.p.	10 percent owner	2 BLOOR STREET WEST, SUITE 801, TORONTO A6 M4W 3E2
K2 Genpar 2017 Inc.	10 percent owner	2 BLOOR STREET WEST, SUITE 801, TORONTO A6 M4W 3E2
Steven Michael Grossman	officer: President of Subsidiary	C/O SIMPLICITY ESPORTS AND GAMING CO., 7000 W PALMETTO PARK ROAD SUITE 210, BOCA RATON FL 33433
Donald R Caldwell	director	5 RADNOR CORP CENTER STE 555, RADNOR PA 19087
Max Wayne Hooper	director	1345 AVE OF THE AMERICAS 2ND FL, NEW YORK NY 10105
Frank Leavy	director	1345 AVENUE OF THE AMERICAS, 2ND FLOOR, NEW YORK NY 10105