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PCHZF (Paints and Chemical Industries Co) Net-Net Working Capital : $0.13 (As of Jun. 2018)


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What is Paints and Chemical Industries 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.

Paints and Chemical Industries Co's Net-Net Working Capital for the quarter that ended in Jun. 2018 was $0.13.

The industry rank for Paints and Chemical Industries Co's Net-Net Working Capital or its related term are showing as below:

PCHZF's Price-to-Net-Net-Working-Capital is not ranked *
in the Chemicals industry.
Industry Median: 7.01
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Paints and Chemical Industries Co Net-Net Working Capital Historical Data

The historical data trend for Paints and Chemical Industries 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.

Paints and Chemical Industries Co Net-Net Working Capital Chart

Paints and Chemical Industries Co Annual Data
Trend Jun17 Jun18
Net-Net Working Capital
0.09 0.13

Paints and Chemical Industries Co Semi-Annual Data
Jun17 Jun18
Net-Net Working Capital 0.09 0.13

Competitive Comparison of Paints and Chemical Industries Co's Net-Net Working Capital

For the Specialty Chemicals subindustry, Paints and Chemical Industries 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.


Paints and Chemical Industries Co's Price-to-Net-Net-Working-Capital Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Paints and Chemical Industries Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Paints and Chemical Industries Co's Price-to-Net-Net-Working-Capital falls into.



Paints and Chemical Industries Co Net-Net Working Capital Calculation

Paints and Chemical Industries Co's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Jun. 2018 is calculated as

Net-Net Working Capital(A: Jun. 2018 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(13.378+0.75 * 2.324+0.5 * 16.177-13.313
-0-0.68)/72.01
=0.13

Paints and Chemical Industries Co's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2018 is calculated as

Net-Net Working Capital(Q: Jun. 2018 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(13.378+0.75 * 2.324+0.5 * 16.177-13.313
-0-0.68)/72.01
=0.13

* 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.


Paints and Chemical Industries Co  (GREY:PCHZF) 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.


Paints and Chemical Industries Co Net-Net Working Capital Related Terms

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Paints and Chemical Industries Co Business Description

Traded in Other Exchanges
N/A
Address
1, Elmassanie Street, P.O. Box 11887,Elamiriya, Cario, EGY
Paints and Chemical Industries Co is an Egypt-based company engaged in the manufacturing of paints, varnishes, industrial chemicals, printing inks, animal extracts and other related products. The product portfolio of the group consists of Decorative paints, Industrial paints, Printing inks and alkyd resin. The majority of income for the group is generated through the sale of products. It also exports all the products of paints to Libya, Saudi Arabia, Syria, Cyprus, Kenya, Sudan, and Equatorial Guinea.

Paints and Chemical Industries Co Headlines

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