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Hua MedicineHUMDF 44 Net-Net Working Capital is $0.11 as of Dec. 2025. GuruFocus rates HUMDF with a GF Score™ of 44/100 and a GF Value™ of $1.22 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 413 Drug Manufacturers companies, Hua Medicine ranks better than 80.63% 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.
Hua Medicine's Net-Net Working Capital for the quarter that ended in Dec. 2025 was $0.11.
The industry rank for Hua Medicine's Net-Net Working Capital or its related term are showing as below:
HUMDF's Price-to-Net-Net-Working-Capital is ranked better than 80.63% of 413
companies
in the Drug Manufacturers industry
Industry Median: 7.85
vs HUMDF: 2.62
Hua Medicine (OTCPK:HUMDF) 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.
Hua Medicine Net-Net Working Capital Related Terms
Hua Medicine Net-Net Working Capital Historical Data
* Premium members only.
The historical data trend for Hua Medicine'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.
For the Drug Manufacturers - Specialty & Generic subindustry, Hua Medicine'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.
Hua Medicine Price-to-Net-Net-Working-Capital vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Hua Medicine's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Hua Medicine'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 $0.11 mean?
Hua Medicine (HUMDF) has a Net-Net Working Capital of $0.11 as of Dec. 2025. 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 Hua Medicine According to the industry distribution chart, Hua Medicine ranks #80 out of 413 companies in the Drug Manufacturers industry, placing it in the top 19.4%.
Is Hua Medicine's Net-Net Working Capital too high?
Hua Medicine's current Net-Net Working Capital is $0.11. The Drug Manufacturers industry median Net-Net Working Capital is 7.85. Hua Medicine's value of $0.11 is 98.6% below this industry median. Based on the distribution chart, Hua Medicine ranks #80 out of 413 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Hua Medicine has a GF Score™ of 44/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Hua Medicine's Net-Net Working Capital compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Hua Medicine ranks #80 out of 413 companies for Net-Net Working Capital. This places Hua Medicine in the top 19% of its industry — outperforming the majority of peers. The industry median Net-Net Working Capital is 7.85. Hua Medicine's value of $0.11 is 98.6% below this benchmark. 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 a Drug Manufacturers company?
The median Net-Net Working Capital among Drug Manufacturers companies is 7.85, based on 413 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. Hua Medicine's current Net-Net Working Capital of $0.11 is 98.6% below the industry median. 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 Hua Medicine For the Drug Manufacturers industry, the median Net-Net Working Capital is 7.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hua Medicine's current Net-Net Working Capital is $0.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hua Medicine stock overvalued right now?
Based on GuruFocus' analysis, Hua Medicine (HUMDF) is currently considered Possible Value Trap. The stock's GF Value™ is $1.22, compared to a current price of $0.31 — trading 74.2% below its estimated fair value. The current Net-Net Working Capital is $0.11 and 98.6% below the Drug Manufacturers industry median of 7.85. Hua Medicine's overall GF Score™ is 44/100 with 6 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 Hua Medicine (HUMDF), the current Net-Net Working Capital is $0.11 as of Dec. 2025. 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 Hua Medicine (HUMDF) Overvalued in 2026?
Based on GuruFocus' analysis, Hua Medicine stock appears to be undervalued.
The current stock price of $0.31 is trading 74.2% below its estimated GF Value™ of $1.22.
GuruFocus considers Hua Medicine to be Possible Value Trap.
Key valuation signals for HUMDF:
Net-Net Working Capital: $0.11
GF Value™: $1.22 vs. price of $0.31 (74.2% below fair value)
Industry Position: 98.6% below the Drug Manufacturers median (#80 of 413)
No single metric tells the full story. See the HUMDF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hua Medicine is an investment holding company. It is engaged in the development and commercialization of a first-in-class oral drug, Dorzagliatin (HMS5552), for the treatment of Type 2 diabetes. Dorzagliatin is a first-in-class glucokinase activator, or GKA, designed to control the progressive degenerative nature of diabetes by restoring glucose homeostasis in Type 2 diabetes. The group majorly operates and generates the majority of its revenue from the PRC.
44GF Score
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