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MFGI (Merchants Financial Group) Net-Net Working Capital : $-284.73 (As of Dec. 2024)


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What is Merchants Financial Group 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.

Merchants Financial Group's Net-Net Working Capital for the quarter that ended in Dec. 2024 was $-284.73.

The industry rank for Merchants Financial Group's Net-Net Working Capital or its related term are showing as below:

MFGI's Price-to-Net-Net-Working-Capital is not ranked *
in the Banks industry.
Industry Median: 5.13
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Merchants Financial Group Net-Net Working Capital Historical Data

The historical data trend for Merchants Financial Group'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.

Merchants Financial Group Net-Net Working Capital Chart

Merchants Financial Group Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Net-Net Working Capital
Get a 7-Day Free Trial -227.48 -213.59 -258.22 -280.89 -284.73

Merchants Financial Group Quarterly Data
Dec19 Dec20 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 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 -271.98 -280.89 -284.30 -280.14 -284.73

Competitive Comparison of Merchants Financial Group's Net-Net Working Capital

For the Banks - Regional subindustry, Merchants Financial Group'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.


Merchants Financial Group's Price-to-Net-Net-Working-Capital Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Merchants Financial Group's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Merchants Financial Group's Price-to-Net-Net-Working-Capital falls into.


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Merchants Financial Group Net-Net Working Capital Calculation

Merchants Financial Group'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 )
=(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)
=(177.566+0+0.75 * 0+0.5 * 0-2506.387
-0-0)/8.179
=-284.73

Merchants Financial Group'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 )
=(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)
=(177.566+0+0.75 * 0+0.5 * 0-2506.387
-0-0)/8.179
=-284.73

* 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.


Merchants Financial Group  (OTCPK:MFGI) 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.


Merchants Financial Group Net-Net Working Capital Related Terms

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Merchants Financial Group Business Description

Traded in Other Exchanges
N/A
Address
102 East Third Street, Winona, MN, USA, 55987
Merchants Financial Group Inc is a bank holding company with one wholly-owned bank subsidiary, Merchants Bank, National Association. It provides retail, commercial loans, and deposit services principally to customers within a radius of its locations. The Bank has a leasing division, Merchants Bank Equipment Finance, which operates in the Minneapolis-St. Paul, Minnesota, metropolitan area.

Merchants Financial Group Headlines

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