PersimmonPSMMF 75 Net-Net Working Capital is $3.31 as of Dec. 2025. GuruFocus rates PSMMF with a GF Score™ of 75/100 and a GF Value™ of $21.96. The stock has 3 warning signs investors should review. Among 33 Homebuilding & Construction companies, Persimmon ranks better than 66.67% 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.
Persimmon's Net-Net Working Capital for the quarter that ended in Dec. 2025 was $3.31.
The industry rank for Persimmon's Net-Net Working Capital or its related term are showing as below:
PSMMF's Price-to-Net-Net-Working-Capital is ranked better than 66.67% of 33
companies
in the Homebuilding & Construction industry
Industry Median: 7.63
vs PSMMF: 4.18
Persimmon (OTCPK:PSMMF) 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.
Persimmon Net-Net Working Capital Related Terms
Persimmon Net-Net Working Capital Historical Data
* Premium members only.
The historical data trend for Persimmon'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.
PSMMF vs DHI, PHM, LEN: Net-Net Working Capital Comparison
For the Residential Construction subindustry, Persimmon'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.
Persimmon Price-to-Net-Net-Working-Capital vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Persimmon's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Persimmon'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 $3.31 mean?
Persimmon (PSMMF) has a Net-Net Working Capital of $3.31 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 Persimmon According to the industry distribution chart, Persimmon ranks #11 out of 33 companies in the Homebuilding & Construction industry, placing it in the top 33.3%.
Is Persimmon's Net-Net Working Capital too high?
Persimmon's current Net-Net Working Capital is $3.31. The Homebuilding & Construction industry median Net-Net Working Capital is 7.63. Persimmon's value of $3.31 is 56.6% below this industry median. Based on the distribution chart, Persimmon ranks #11 out of 33 companies in the Homebuilding & Construction industry, which is above the industry midpoint. Overall, Persimmon has a GF Score™ of 75/100, reflecting its overall financial health beyond just this single metric.
How does Persimmon's Net-Net Working Capital compare to DHI and PHM?
According to the Homebuilding & Construction industry distribution chart, Persimmon ranks #11 out of 33 companies for Net-Net Working Capital. This puts Persimmon in the upper half of its industry. The industry median Net-Net Working Capital is 7.63. Persimmon's value of $3.31 is 56.6% 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 Homebuilding & Construction company?
The median Net-Net Working Capital among Homebuilding & Construction companies is 7.63, based on 33 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. Persimmon's current Net-Net Working Capital of $3.31 is 56.6% 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 Persimmon For the Homebuilding & Construction industry, the median Net-Net Working Capital is 7.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Persimmon's current Net-Net Working Capital is $3.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Persimmon stock overvalued right now?
Persimmon (PSMMF) has a current Net-Net Working Capital of $3.31. The stock's GF Value™ is $21.96, compared to a current price of $15.26 — trading 30.5% below its estimated fair value. The current Net-Net Working Capital is $3.31 and 56.6% below the Homebuilding & Construction industry median of 7.63. Persimmon's overall GF Score™ is 75/100 with 3 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 Persimmon (PSMMF), the current Net-Net Working Capital is $3.31 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 Persimmon (PSMMF) Overvalued in 2026?
Based on GuruFocus' analysis, Persimmon stock appears to be undervalued.
The current stock price of $15.26 is trading 30.5% below its estimated GF Value™ of $21.96.
Key valuation signals for PSMMF:
Net-Net Working Capital: $3.31
GF Value™: $21.96 vs. price of $15.26 (30.5% below fair value)
Industry Position: 56.6% below the Homebuilding & Construction median (#11 of 33)
No single metric tells the full story. See the PSMMF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Persimmon is one of the UK's largest residential property developers by revenue and dwelling completions, marketing homes under its three brands: Persimmon Homes, Charles Church, and Westbury Partnerships. Persimmon distinguishes itself from peers by operating in the lower-priced segment of the new-build market; Persimmon Homes' average selling price in 2024 was 20% below the UK new-build national average. Like peers, Persimmon has traditionally operated in the land development, construction, and sales and marketing segments of the residential property development value chain. However, unlike peers, in recent years, Persimmon has begun manufacturing its own bricks, tiles, and timber frames, aiming to secure the supply and quality of key materials and manage build cost inflation.
75GF Score
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