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Sino Strategic International (ASX:SSI) Net-Net Working Capital : A$-0.02 (As of Jun. 2010)


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What is Sino Strategic International 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.

Sino Strategic International's Net-Net Working Capital for the quarter that ended in Jun. 2010 was A$-0.02.

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

ASX:SSI's Price-to-Net-Net-Working-Capital is not ranked *
in the Travel & Leisure industry.
Industry Median: 7.55
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Sino Strategic International Net-Net Working Capital Historical Data

The historical data trend for Sino Strategic International'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.

Sino Strategic International Net-Net Working Capital Chart

Sino Strategic International Annual Data
Trend Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.17 0.02 -0.09 -0.10 -0.02

Sino Strategic International Semi-Annual Data
Jun96 Jun97 Jun98 Jun99 Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10
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 0.17 0.02 -0.09 -0.10 -0.02

Competitive Comparison of Sino Strategic International's Net-Net Working Capital

For the Gambling subindustry, Sino Strategic International'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.


Sino Strategic International's Price-to-Net-Net-Working-Capital Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Sino Strategic International's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Sino Strategic International Net-Net Working Capital Calculation

Sino Strategic International's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Jun. 2010 is calculated as

Net-Net Working Capital(A: Jun. 2010 )
=(Balance Sheet Cash And Cash Equivalents+Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.577+4.031+0.75 * 0+0.5 * 0-5.741
-0-0)/67.198
=-0.02

Sino Strategic International's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2010 is calculated as

Net-Net Working Capital(Q: Jun. 2010 )
=(Balance Sheet Cash And Cash Equivalents+Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.577+4.031+0.75 * 0+0.5 * 0-5.741
-0-0)/67.198
=-0.02

* 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.


Sino Strategic International  (ASX:SSI) 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.


Sino Strategic International Net-Net Working Capital Related Terms

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Sino Strategic International (ASX:SSI) Business Description

Traded in Other Exchanges
N/A
Address
Sino Strategic International (SSI) is a diversified investment holding company with interest in gaming and entertainment business, internet & mobile media and investment services.

Sino Strategic International (ASX:SSI) Headlines

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