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Housing Development Finance (BOM:500010) Net-Net Working Capital : ₹-4,831.93 (As of Mar. 2023)


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What is Housing Development Finance 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.

Housing Development Finance's Net-Net Working Capital for the quarter that ended in Mar. 2023 was ₹-4,831.93.

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

BOM:500010's Price-to-Net-Net-Working-Capital is not ranked *
in the Banks industry.
Industry Median: 1.92
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Housing Development Finance Net-Net Working Capital Historical Data

The historical data trend for Housing Development Finance'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.

Housing Development Finance Net-Net Working Capital Chart

Housing Development Finance Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3,157.86 -3,451.15 -3,711.55 -4,323.13 -4,831.93

Housing Development Finance Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 -4,323.13 - -4,546.41 - -4,831.93

Competitive Comparison of Housing Development Finance's Net-Net Working Capital

For the Mortgage Finance subindustry, Housing Development Finance'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.


Housing Development Finance's Price-to-Net-Net-Working-Capital Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Housing Development Finance's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Housing Development Finance Net-Net Working Capital Calculation

Housing Development Finance's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2023 is calculated as

Net-Net Working Capital(A: Mar. 2023 )
=(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)
=(36080.8+0+0.75 * 0+0.5 * 0-8762160.7
-0-138382.9)/1834.56
=-4,831.93

Housing Development Finance's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2023 is calculated as

Net-Net Working Capital(Q: Mar. 2023 )
=(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)
=(36080.8+0+0.75 * 0+0.5 * 0-8762160.7
-0-138382.9)/1834.56
=-4,831.93

* 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.


Housing Development Finance  (BOM:500010) 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.


Housing Development Finance Net-Net Working Capital Related Terms

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Housing Development Finance (BOM:500010) Business Description

Traded in Other Exchanges
N/A
Address
HDFC House, H.T. Parekh Marg, 165-166, Backbay Reclamation, Churchgate, Mumbai, MH, IND, 400 020
Housing Development Finance Corp Ltd provides housing finance services to customers in India, with a limited number of other international operations. The company is engaged in conservative lending practices through its retail mortgage business, while its customers are mostly first-time homebuyers. The initiation of housing loans, including home improvement and home extension loans, remains as the core business of the company. The company is also engaged in risk management strategies that include derivative securities. Its segments include Loans, Life Insurance, General Insurance, Asset Management, and Others. Geographically, it generates nearly all of its revenue from India.

Housing Development Finance (BOM:500010) Headlines

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