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.
The industry rank for Japan Hotel REIT Investment's Net-Net Working Capital or its related term are showing as below:
NIPOF's Price-to-Net-Net-Working-Capital is not ranked *
in the REITs industry.
Industry Median: 17.365 * Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.
Japan Hotel REIT Investment (OTCPK:NIPOF) 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.
Japan Hotel REIT Investment Net-Net Working Capital Related Terms
Japan Hotel REIT Investment Net-Net Working Capital Historical Data
* 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.
Japan Hotel REIT Investment Net-Net Working Capital Chart
NIPOF vs HST, RHP, APLE: Net-Net Working Capital Comparison
For the REIT - Hotel & Motel subindustry, Japan Hotel REIT Investment'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.
Japan Hotel REIT Investment Price-to-Net-Net-Working-Capital vs REITs Industry
For the REITs industry and Real Estate sector, Japan Hotel REIT Investment's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Japan Hotel REIT Investment'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 $-316.10 mean?
Japan Hotel REIT Investment (NIPOF) has a Net-Net Working Capital of $-316.10 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 Japan Hotel REIT Investment According to the industry distribution chart, Japan Hotel REIT Investment ranks #999999 out of 116 companies in the REITs industry.
Is Japan Hotel REIT Investment's Net-Net Working Capital too high?
Japan Hotel REIT Investment's current Net-Net Working Capital is $-316.10. Based on the distribution chart, Japan Hotel REIT Investment ranks #999999 out of 116 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Japan Hotel REIT Investment has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Japan Hotel REIT Investment's Net-Net Working Capital compare to HST and RHP?
According to the REITs industry distribution chart, Japan Hotel REIT Investment ranks #999999 out of 116 companies for Net-Net Working Capital. This places Japan Hotel REIT Investment in the lower half of its industry. The industry median Net-Net Working Capital is 17.37. 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 REITs company?
The median Net-Net Working Capital among REITs companies is 17.37, based on 116 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. 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 Japan Hotel REIT Investment For the REITs industry, the median Net-Net Working Capital is 17.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Hotel REIT Investment's current Net-Net Working Capital is $-316.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Hotel REIT Investment stock overvalued right now?
Japan Hotel REIT Investment (NIPOF) has a current Net-Net Working Capital of $-316.10. The stock's GF Value™ is $708.08, compared to a current price of $471.74 — trading 33.4% below its estimated fair value. The current Net-Net Working Capital is $-316.10. Japan Hotel REIT Investment's overall GF Score™ is 77/100 with 5 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 Japan Hotel REIT Investment (NIPOF), the current Net-Net Working Capital is $-316.10 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 Japan Hotel REIT Investment (NIPOF) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Hotel REIT Investment stock appears to be undervalued.
The current stock price of $471.74 is trading 33.4% below its estimated GF Value™ of $708.08.
Key valuation signals for NIPOF:
Net-Net Working Capital: $-316.10
GF Value™: $708.08 vs. price of $471.74 (33.4% below fair value)
No single metric tells the full story. See the NIPOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Hotel REIT Investment Corp is a real estate investment trust. It aims to achieve stable earnings and sustainable growth in the asset from mid- to long-term perspectives. The company invests in business hotels, resort hotels, and city hotels, mainly located in the metropolitan areas and other cities of Japan.
77GF Score
Get the complete analysis for NIPOF
Net-Net Working Capital is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NIPOF has been successfully added to your 
