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Chiasma (Chiasma) Net-Net Working Capital : $0.45 (As of Mar. 2021)


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What is Chiasma 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.

Chiasma's Net-Net Working Capital for the quarter that ended in Mar. 2021 was $0.45.

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

CHMA's Price-to-Net-Net-Working-Capital is not ranked
in the Biotechnology industry.
Industry Median: 4.125 vs CHMA: 8.36

Chiasma Net-Net Working Capital Historical Data

The historical data trend for Chiasma'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.

Chiasma Net-Net Working Capital Chart

Chiasma Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Net-Net Working Capital
Get a 7-Day Free Trial 3.36 2.44 0.51 1.89 0.98

Chiasma Quarterly Data
Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21
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 1.52 0.59 1.33 0.98 0.45

Competitive Comparison of Chiasma's Net-Net Working Capital

For the Biotechnology subindustry, Chiasma'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.


Chiasma's Price-to-Net-Net-Working-Capital Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Chiasma's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Chiasma Net-Net Working Capital Calculation

Chiasma's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2020 is calculated as

Net-Net Working Capital(A: Dec. 2020 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(135.421+0.75 * 0.538+0.5 * 10.955-84.553
-0-0)/57.8156
=0.98

Chiasma's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2021 is calculated as

Net-Net Working Capital(Q: Mar. 2021 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(115.033+0.75 * 1.015+0.5 * 14.381-96.847
-0-0)/57.8436
=0.45

* 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.


Chiasma  (NAS:CHMA) 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.


Chiasma Net-Net Working Capital Related Terms

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


Chiasma (Chiasma) Business Description

Traded in Other Exchanges
N/A
Address
140 Kendrick Street, Building C East, Needham, MA, USA, 02494
Chiasma Inc is a commercial-stage biopharmaceutical company focused on improving the lives of patients who face challenges associated with existing treatments for rare and serious chronic disease. The US Food and Drug Administration, or the FDA, approved MYCAPSSA for long-term maintenance treatment in acromegaly patients who have responded to and tolerated treatment with octreotide or lanreotide. MYCAPSSA is the first and only oral somatostatin analog, or SSA, approved by the FDA and the first product approved by the FDA utilizing TPE technology. The company is focused on the commercialization of MYCAPSSA for the treatment of patients with acromegaly in the United States and developing and seeking regulatory approval of MYCAPSSA in the European Union.
Executives
Roni Mamluk director CHIASMA, INC., 60WELLS AVENUE, NEWTON MA 02459
David M Stack director THE MEDICINES CO, 8 CAMPUS DRIVE, PARSIPPANY NJ 07054
Raj Kannan director, officer: Chief Executive Officer C/O CHIASMA, INC. 460 TOTTEN POND RD, SUITE 530, WALTHAM MA 02451
John F Thero director C/O AMARIN PHARMA, INC., 1430 ROUTE 6, BEDMINSTER NJ 07921
Bard Geesaman director C/O MPM CAPITAL 450 KENDALL STREET CAMBRIDGE MA 02142
Todd Foley director THE JOHN HANCOCK TOWER, 200 CLARENDON STREET 54TH FLOOR, BOSTON MA 02116
John A Scarlett director C/O GERON CORPORATION, 230 CONSTITUTION DRIVE, MENLO PARK CA 94025
Scott Minick director C/O BIND THERAPEUTICS, INC. 325 VASSAR ST CAMBRIDGE MA 02139
Anand Varadan officer: EVP, Chief Commerical Officer C/O CHIASMA, INC., 60 WELLS AVENUE, NEWTON MA 02459
Lee Giguere officer: General Counsel C/O CHIASMA, INC. 460 TOTTEN POND ROAD, SUITE 530 WALTHAM MA 02451
William Ludlam officer: See Remarks C/O CHIASMA, INC. 460 TOTTEN POND ROAD, SUITE 530 WALTHAM MA 02451
Drew Enamait officer: VP, Fin & Admin, PAO C/O CHIASMA, INC. 275 WYMAN STREET, SUITE 250 WALTHAM MA 02451
Mark J. Fitzpatrick officer: President 101 MAIN STREET, SUITE 1850, CAMBRIDGE MA 02142
James R Tobin director C/O CURIS INC, 4 MAGUIRE ROAD, LEXINGTON MA 02421
Ansbert Gadicke director THE JOHN HANCOCK TOWER, 200 CLARENDON STREET, 54TH FLOOR, BOSTON MA 02116

Chiasma (Chiasma) Headlines

From GuruFocus

Chiasma to Report Fourth Quarter 2020 Results on March 4

By Marketwired Marketwired 02-25-2021