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WAM Strategic Value (ASX:WAR) Net-Net Working Capital : A$0.04 (As of Jun. 2024)


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What is WAM Strategic Value 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.

WAM Strategic Value's Net-Net Working Capital for the quarter that ended in Jun. 2024 was A$0.04.

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

ASX:WAR's Price-to-Net-Net-Working-Capital is ranked worse than
76.58% of 491 companies
in the Asset Management industry
Industry Median: 7.95 vs ASX:WAR: 28.13

WAM Strategic Value Net-Net Working Capital Historical Data

The historical data trend for WAM Strategic Value'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.

WAM Strategic Value Net-Net Working Capital Chart

WAM Strategic Value Annual Data
Trend Mar21 Jun23 Jun24
Net-Net Working Capital
- 0.32 0.04

WAM Strategic Value Semi-Annual Data
Dec22 Jun23 Dec23 Jun24
Net-Net Working Capital 1.12 0.32 1.19 0.04

Competitive Comparison of WAM Strategic Value's Net-Net Working Capital

For the Asset Management subindustry, WAM Strategic Value'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.


WAM Strategic Value's Price-to-Net-Net-Working-Capital Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, WAM Strategic Value's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



WAM Strategic Value Net-Net Working Capital Calculation

WAM Strategic Value's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Jun. 2024 is calculated as

Net-Net Working Capital(A: Jun. 2024 )
=(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)
=(17.885+0+0.75 * 0.93+0.5 * 0-11.539
-0-0)/180.126
=0.04

WAM Strategic Value's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2024 is calculated as

Net-Net Working Capital(Q: Jun. 2024 )
=(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)
=(17.885+0+0.75 * 0.93+0.5 * 0-11.539
-0-0)/180.126
=0.04

* 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.


WAM Strategic Value  (ASX:WAR) 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.


WAM Strategic Value Net-Net Working Capital Related Terms

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WAM Strategic Value Business Description

Traded in Other Exchanges
N/A
Address
1 Farrer Place, Level 26, Governor Phillip Tower, Sydney, NSW, AUS, 2000
WAM Strategic Value Ltd is an investment company. The company is engaged in investing activities, including cash, term deposits, and equity investments. Its investment objectives are to provide capital growth over the medium-to-long term, deliver a stream of dividends, and preserve capital while providing shareholders with exposure to a diversified equities portfolio.

WAM Strategic Value Headlines

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