GURUFOCUS.COM » STOCK LIST » Healthcare » Biotechnology » Dermira Inc (NAS:DERM) » Definitions » Net-Net Working Capital

Dermira (Dermira) Net-Net Working Capital : $-0.80 (As of Sep. 2019)


View and export this data going back to 2014. Start your Free Trial

What is Dermira 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.

Dermira's Net-Net Working Capital for the quarter that ended in Sep. 2019 was $-0.80.

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

DERM's Price-to-Net-Net-Working-Capital is not ranked *
in the Biotechnology industry.
Industry Median: 4.1
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Dermira Net-Net Working Capital Historical Data

The historical data trend for Dermira'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.

Dermira Net-Net Working Capital Chart

Dermira Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Net-Net Working Capital
Get a 7-Day Free Trial 3.17 5.95 5.69 3.35 -0.75

Dermira Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
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 0.61 -0.75 0.26 -0.05 -0.80

Competitive Comparison of Dermira's Net-Net Working Capital

For the Biotechnology subindustry, Dermira'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.


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

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

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



Dermira Net-Net Working Capital Calculation

Dermira's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2018 is calculated as

Net-Net Working Capital(A: Dec. 2018 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(313.04+0.75 * 5.724+0.5 * 8.37-353.36
-0-0)/42.3282
=-0.75

Dermira's Net-Net Working Capital (NNWC) per share for the quarter that ended in Sep. 2019 is calculated as

Net-Net Working Capital(Q: Sep. 2019 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(358.134+0.75 * 11.057+0.5 * 23.508-421.761
-0-0)/54.5212
=-0.80

* 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.


Dermira  (NAS:DERM) 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.


Dermira Net-Net Working Capital Related Terms

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


Dermira (Dermira) Business Description

Traded in Other Exchanges
N/A
Address
275 Middlefield Road, Suite 150, Menlo Park, CA, USA, 94025
Dermira Inc is a biopharmaceutical company focuses on the development and commercialization of medical dermatology products to dermatologists and their patients primarily in the United States.The company's late-stage product candidates include Cimzia, an injectable biologic tumor necrosis factor-alpha inhibitor to treat various inflammatory diseases, as well as to treat patients with moderate-to-severe chronic plaque psoriasis; Glycopyrronium tosylate, a small-molecule anticholinergic product that is in Phase III clinical trial for the treatment of primary axillary hyperhidrosis or excessive underarm sweating; and Olumacostat glasaretil, a small-molecule sebum inhibitor, which is in Phase III clinical trial to treat acne vulgaris or acne.
Executives
Halley E Gilbert director C/O IRONWOOD PHARMACEUTICALS, INC., 100 SUMMER STREET, SUITE 2300, BOSTON MA 02110
William R Ringo director
Fred B Craves director 750 BATTERY ST, STE 600, SAN FRANCISCO CA 94111
David E Cohen director 3160 PORTER DRIVE, PALO ALTO CA 94304
Thomas G Wiggans director, officer: CEO & Chairman of the Board
Jason Raleigh Nunn director 1119 ST. PAUL STREET, BALTIMORE MD 21202
Andrew Guggenhime officer: CFO C/O VAXCYTE, INC., 825 INDUSTRIAL ROAD, STE. 300, SAN CARLOS CA 94070
Lori Lyons-williams officer: Chief Commercial Officer C/O DERMIRA, INC., 275 MIDDLEFIELD ROAD, SUITE 150, MENLO PARK CA 94025
Kathleen Sebelius director C/O DERMIRA, INC., 275 MIDDLEFIELD ROAD, SUITE 150, MENLO PARK CA 94025
Eugene A Bauer director, officer: Chief Medical Officer C/O APPLIED UV, INC., 150 N. MACQUESTEN PKWY, MOUNT VERNON NY 10550
Lilly Eli & Co 10 percent owner LILLY CORPORATE CENTER, DROP CODE 1094, INDIANAPOLIS IN 46285
Mark Mcdade director C/O PROTINE DESIGN LAB, 7442 NORTH MARCER WAY, MERCER ISLAND WA 98040
Matthew K Fust director C/O ULTRAGENYX PHARMACEUTICAL INC., 60 LEVERONI COURT, NOVATO CA 94949
Canaan Partners Viii Llc director 285 RIVERSIDE AVE, STE 250, WESTPORT CT 06880
Canaan Viii Lp director 2765 SAND HILL RD, MENLO PARK CA 94025

Dermira (Dermira) Headlines

From GuruFocus

Insider Alert: An Insider Just Sold Journey Medical Corp Shares

By GuruFocus Research GuruFocus Editor 05-19-2023