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Pacific Assets Trust (LSE:PAC) Net-Net Working Capital : £-0.05 (As of Jan. 2024)


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What is Pacific Assets Trust 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.

Pacific Assets Trust's Net-Net Working Capital for the quarter that ended in Jan. 2024 was £-0.05.

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

LSE:PAC's Price-to-Net-Net-Working-Capital is not ranked *
in the Asset Management industry.
Industry Median: 6.45
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Pacific Assets Trust Net-Net Working Capital Historical Data

The historical data trend for Pacific Assets Trust'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.

Pacific Assets Trust Net-Net Working Capital Chart

Pacific Assets Trust Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.29 0.09 0.11 -0.01 -0.05

Pacific Assets Trust Semi-Annual Data
Jul14 Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24
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 0.11 0.17 -0.01 0.06 -0.05

Competitive Comparison of Pacific Assets Trust's Net-Net Working Capital

For the Asset Management subindustry, Pacific Assets Trust'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.


Pacific Assets Trust's Price-to-Net-Net-Working-Capital Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Pacific Assets Trust's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Pacific Assets Trust Net-Net Working Capital Calculation

Pacific Assets Trust's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Jan. 2024 is calculated as

Net-Net Working Capital(A: Jan. 2024 )
=(Balance Sheet Cash And Cash Equivalents+Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(6.191+0+0.75 * 0+0.5 * 0-12.513
-0-0)/120.958
=-0.05

Pacific Assets Trust's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jan. 2024 is calculated as

Net-Net Working Capital(Q: Jan. 2024 )
=(Balance Sheet Cash And Cash Equivalents+Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(6.191+0+0.75 * 0+0.5 * 0-12.513
-0-0)/120.958
=-0.05

* 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.


Pacific Assets Trust  (LSE:PAC) 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.


Pacific Assets Trust Net-Net Working Capital Related Terms

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Pacific Assets Trust (LSE:PAC) Business Description

Traded in Other Exchanges
Address
16 Charlotte Square, Edinburgh, GBR, EH2 4DF
Pacific Assets Trust PLC is a UK-based investment trust. It aims to achieve long-term capital growth through investment in selected companies in the Asia-Pacific region and the Indian sub-continent excluding Japan, Australia, and New Zealand.

Pacific Assets Trust (LSE:PAC) Headlines

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