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DTCK (Davis Commodities) Net-Net Working Capital : $-0.26 (As of Dec. 2024)


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What is Davis Commodities 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.

Davis Commodities's Net-Net Working Capital for the quarter that ended in Dec. 2024 was $-0.26.

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

DTCK's Price-to-Net-Net-Working-Capital is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 6.92
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Davis Commodities Net-Net Working Capital Historical Data

The historical data trend for Davis Commodities'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.

Davis Commodities Net-Net Working Capital Chart

Davis Commodities Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Net-Net Working Capital
-0.05 -0.24 -0.20 -0.27 -0.26

Davis Commodities Semi-Annual Data
Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only -0.20 -0.33 -0.27 -0.21 -0.26

Competitive Comparison of Davis Commodities's Net-Net Working Capital

For the Farm Products subindustry, Davis Commodities'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.


Davis Commodities's Price-to-Net-Net-Working-Capital Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Davis Commodities's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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


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Davis Commodities Net-Net Working Capital Calculation

Davis Commodities's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2024 is calculated as

Net-Net Working Capital(A: Dec. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.678+0.75 * 7.692+0.5 * 0.319-12.961
-0-0)/24.501
=-0.26

Davis Commodities's Net-Net Working Capital (NNWC) per share for the quarter that ended in Dec. 2024 is calculated as

Net-Net Working Capital(Q: Dec. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.678+0.75 * 7.692+0.5 * 0.319-12.961
-0-0)/24.501
=-0.26

* 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.


Davis Commodities  (NAS:DTCK) 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.


Davis Commodities Net-Net Working Capital Related Terms

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


Davis Commodities Business Description

Traded in Other Exchanges
N/A
Address
10 Bukit Batok Crescent, No. 10-01, The Spire, Singapore, SGP, 658079
Davis Commodities Ltd is an agricultural commodity trading company based in Singapore, which specializes in the trading of three main categories of agricultural commodities, namely sugar, rice, and oil and fat products. It distributes agricultural commodities to various markets, including Asia, Africa, and the Middle East. The company also provides customers of commodity offerings with complementary, ancillary services such as warehouse handling and storage, and logistics services. The Company operates across four main segments: the sale of sugar, rice, oil, and fat products, and others. Among these, the sale of sugar stands out as the primary revenue generator, contributing significantly to the company's overall income.