Alto IngredientsALTO -0.62%38 Net-Net Working Capital is $-0.58 as of Mar. 2026. GuruFocus rates ALTO with a GF Score™ of 38/100 and a GF Value™ of $1.44 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 589 Chemicals companies, Alto Ingredients ranks worse than 169779.12% on this metric.
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.
Alto Ingredients's Net-Net Working Capital for the quarter that ended in Mar. 2026 was $-0.58.
The industry rank for Alto Ingredients's Net-Net Working Capital or its related term are showing as below:
ALTO's Price-to-Net-Net-Working-Capital is not ranked *
in the Chemicals industry.
Industry Median: 7.82 * Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.
Alto Ingredients (NAS:ALTO) 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.
Alto Ingredients Net-Net Working Capital Related Terms
Alto Ingredients Net-Net Working Capital Historical Data
* Premium members only.
The historical data trend for Alto Ingredients'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.
ALTO vs OEC, MATV, GEVO: Net-Net Working Capital Comparison
For the Specialty Chemicals subindustry, Alto Ingredients'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.
Alto Ingredients Price-to-Net-Net-Working-Capital vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Alto Ingredients's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Alto Ingredients's Price-to-Net-Net-Working-Capital falls into.
* 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.
What does a Net-Net Working Capital of $-0.58 mean?
Alto Ingredients (ALTO) has a Net-Net Working Capital of $-0.58 as of Mar. 2026. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Alto Ingredients According to the industry distribution chart, Alto Ingredients ranks #999999 out of 589 companies in the Chemicals industry.
Is Alto Ingredients' Net-Net Working Capital too high?
Alto Ingredients' current Net-Net Working Capital is $-0.58. Based on the distribution chart, Alto Ingredients ranks #999999 out of 589 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, Alto Ingredients has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alto Ingredients' Net-Net Working Capital compare to OEC and MATV?
According to the Chemicals industry distribution chart, Alto Ingredients ranks #999999 out of 589 companies for Net-Net Working Capital. This places Alto Ingredients in the lower half of its industry. The industry median Net-Net Working Capital is 7.82. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net-Net Working Capital for a Chemicals company?
The median Net-Net Working Capital among Chemicals companies is 7.82, based on 589 companies in the industry. Companies in the top quartile (top 25%) have a Net-Net Working Capital significantly above this median, while those in the bottom quartile fall well below. However, Net-Net Working Capital should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net-Net Working Capital mean?
A high Net-Net Working Capital can signal that a stock is expensive relative to its fundamentals. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Alto Ingredients For the Chemicals industry, the median Net-Net Working Capital is 7.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alto Ingredients's current Net-Net Working Capital is $-0.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alto Ingredients stock overvalued right now?
Based on GuruFocus' analysis, Alto Ingredients (ALTO) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.44, compared to a current price of $5.62 — trading 290.3% above its estimated fair value. The current Net-Net Working Capital is $-0.58. Alto Ingredients' overall GF Score™ is 38/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net-Net Working Capital calculated?
Net-Net Working Capital is calculated from a company's financial statements. For Alto Ingredients (ALTO), the current Net-Net Working Capital is $-0.58 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Alto Ingredients (ALTO) Overvalued in 2026?
Based on GuruFocus' analysis, Alto Ingredients stock appears to be overvalued.
The current stock price of $5.62 is trading 290.3% above its estimated GF Value™ of $1.44.
GuruFocus considers Alto Ingredients to be Significantly Overvalued.
Key valuation signals for ALTO:
Net-Net Working Capital: $-0.58
GF Value™: $1.44 vs. price of $5.62 (290.3% above fair value)
No single metric tells the full story. See the ALTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alto Ingredients Inc is a producer and distributor of specialty alcohols, renewable fuels and essential ingredients in the United States. The company serves five markets: Health, Home and Beauty, Food and Beverage, Essential Ingredients, and Renewable Fuels. Its customers include food and beverage companies and consumer products manufacturers and distributors. The company operates under three segments: Marketing and distribution, Pekin Campus production, and Western production.
38GF Score
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