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Leonardo DRSDRS -1.48%80 Net-Net Working Capital is $-2.60 as of Jun. 2026. GuruFocus rates DRS with a GF Score™ of 80/100 and a GF Value™ of $37.85 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 119 Aerospace & Defense companies, Leonardo DRS ranks worse than 840335.29% on this metric.
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.
Leonardo DRS's Net-Net Working Capital for the quarter that ended in Jun. 2026 was $-2.60.
The industry rank for Leonardo DRS's Net-Net Working Capital or its related term are showing as below:
DRS's Price-to-Net-Net-Working-Capital is not ranked *
in the Aerospace & Defense industry.
Industry Median: 9.83 * Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.
Leonardo DRS (NAS:DRS) 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.
Leonardo DRS Net-Net Working Capital Related Terms
Leonardo DRS Net-Net Working Capital Historical Data
* Premium members only.
The historical data trend for Leonardo DRS'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.
DRS vs MOG.A, HII, BWXT: Net-Net Working Capital Comparison
For the Aerospace & Defense subindustry, Leonardo DRS'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.
Leonardo DRS Price-to-Net-Net-Working-Capital vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Leonardo DRS's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Leonardo DRS's Price-to-Net-Net-Working-Capital falls into.
* 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.
What does a Net-Net Working Capital of $-2.60 mean?
Leonardo DRS (DRS) has a Net-Net Working Capital of $-2.60 as of Jun. 2026. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Leonardo DRS According to the industry distribution chart, Leonardo DRS ranks #999999 out of 119 companies in the Aerospace & Defense industry.
Is Leonardo DRS's Net-Net Working Capital too high?
Leonardo DRS's current Net-Net Working Capital is $-2.60. Based on the distribution chart, Leonardo DRS ranks #999999 out of 119 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Leonardo DRS has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Leonardo DRS's Net-Net Working Capital compare to MOG.A and HII?
According to the Aerospace & Defense industry distribution chart, Leonardo DRS ranks #999999 out of 119 companies for Net-Net Working Capital. This places Leonardo DRS in the lower half of its industry. The industry median Net-Net Working Capital is 9.83. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net-Net Working Capital for an Aerospace & Defense company?
The median Net-Net Working Capital among Aerospace & Defense companies is 9.83, based on 119 companies in the industry. Companies in the top quartile (top 25%) have a Net-Net Working Capital significantly above this median, while those in the bottom quartile fall well below. However, Net-Net Working Capital should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net-Net Working Capital mean?
A high Net-Net Working Capital can signal that a stock is expensive relative to its fundamentals. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Leonardo DRS For the Aerospace & Defense industry, the median Net-Net Working Capital is 9.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Leonardo DRS's current Net-Net Working Capital is $-2.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leonardo DRS stock overvalued right now?
Based on GuruFocus' analysis, Leonardo DRS (DRS) is currently considered Modestly Overvalued. The stock's GF Value™ is $37.85, compared to a current price of $44.59 — trading 17.8% above its estimated fair value. The current Net-Net Working Capital is $-2.60. Leonardo DRS's overall GF Score™ is 80/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net-Net Working Capital calculated?
Net-Net Working Capital is calculated from a company's financial statements. For Leonardo DRS (DRS), the current Net-Net Working Capital is $-2.60 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Leonardo DRS (DRS) Overvalued in 2026?
Based on GuruFocus' analysis, Leonardo DRS stock appears to be overvalued.
The current stock price of $44.59 is trading 17.8% above its estimated GF Value™ of $37.85.
GuruFocus considers Leonardo DRS to be Modestly Overvalued.
Key valuation signals for DRS:
Net-Net Working Capital: $-2.60
GF Value™: $37.85 vs. price of $44.59 (17.8% above fair value)
No single metric tells the full story. See the DRS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leonardo DRS Inc is a provider of defense products and technologies that are used across land, air, sea, space, and cyber domains. It is in the design, development, and manufacture of Advanced sensing, network computing, force protection, and electric power and propulsion technologies and solutions. The company has two segments: Advanced Sensing and Computing, which generates the majority of revenue, and the Integrated Mission Systems segment. The Advanced Sensing and Computing segment is engaged in designing, developing, and manufacturing sensing and network computing technology that enables real-time situational awareness required for enhanced operational decision-making and execution by the customers.
80GF Score
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