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Guolian Minsheng Securities Co (HKSE:01456) Net-Net Working Capital : HK$-7.21 (As of Dec. 2024)


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What is Guolian Minsheng Securities Co 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.

Guolian Minsheng Securities Co's Net-Net Working Capital for the quarter that ended in Dec. 2024 was HK$-7.21.

The industry rank for Guolian Minsheng Securities Co's Net-Net Working Capital or its related term are showing as below:

HKSE:01456's Price-to-Net-Net-Working-Capital is not ranked *
in the Capital Markets industry.
Industry Median: 5.67
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Guolian Minsheng Securities Co Net-Net Working Capital Historical Data

The historical data trend for Guolian Minsheng Securities Co'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.

Guolian Minsheng Securities Co Net-Net Working Capital Chart

Guolian Minsheng Securities Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4.51 -6.29 -7.03 -5.98 -7.21

Guolian Minsheng Securities Co Quarterly Data
Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 -5.98 -6.85 -5.57 -9.00 -7.21

Competitive Comparison of Guolian Minsheng Securities Co's Net-Net Working Capital

For the Capital Markets subindustry, Guolian Minsheng Securities Co'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.


Guolian Minsheng Securities Co's Price-to-Net-Net-Working-Capital Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Guolian Minsheng Securities Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Guolian Minsheng Securities Co's Price-to-Net-Net-Working-Capital falls into.


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Guolian Minsheng Securities Co Net-Net Working Capital Calculation

Guolian Minsheng Securities Co'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)
=(63351.795+0.75 * 247.597+0.5 * 0-83556.152
-0-388.293)/2831.773
=-7.21

Guolian Minsheng Securities Co'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)
=(63351.795+0.75 * 247.597+0.5 * 0-83556.152
-0-388.293)/2831.773
=-7.21

* 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.


Guolian Minsheng Securities Co  (HKSE:01456) 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.


Guolian Minsheng Securities Co Net-Net Working Capital Related Terms

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Guolian Minsheng Securities Co Business Description

Traded in Other Exchanges
Address
No. 8 Jinrong One Street, Jiangsu Province, Wuxi, CHN, 214000
Guolian Minsheng Securities Co Ltd is a China-based financial institution. The company's operating segments include Brokerage and wealth management, Credit transactions, Investment banking, Proprietary trading, Asset management and investment, and Other businesses. It generates maximum revenue from the Brokerage and wealth management segment and the Proprietary trading segment. The Brokerage and wealth management segment includes securities trading and brokering services, sales of wealth management products, investment consulting, and asset allocation. The Proprietary trading segment includes trading in financial products.
Executives
Shang Hai Ning Quan Zi Chan Guan Li You Xian Gong Si 2102 Investment manager

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