RIHT (Rightscorp) Net-Net Working Capital: $-0.02 (As of Sep. 2017)

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What is Rightscorp Net-Net Working Capital?

Rightscorp RIHT Net-Net Working Capital is $-0.02 as of Sep. 2017.

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.

Rightscorp's Net-Net Working Capital for the quarter that ended in Sep. 2017 was $-0.02.

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

RIHT's Price-to-Net-Net-Working-Capital is not ranked *
in the Software industry.
Industry Median: 6.84
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Rightscorp  (OTCPK:RIHT) 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.


Rightscorp Net-Net Working Capital Related Terms


Rightscorp Net-Net Working Capital Historical Data

* Premium members only.

The historical data trend for Rightscorp'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.

Rightscorp Net-Net Working Capital Chart

Rightscorp Annual Data
Trend Sep10 Sep11 Sep12 Sep13 Dec14 Dec15 Dec16
Net-Net Working Capital
Get a 7-Day Free Trial 0.00 0.00 -0.02 -0.02 -0.02

Rightscorp Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
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 -0.02 -0.02 -0.02 -0.02 -0.02

RIHT vs ABVN, IVFZF: Net-Net Working Capital Comparison

For the Software - Infrastructure subindustry, Rightscorp'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.


Rightscorp Price-to-Net-Net-Working-Capital vs Software Industry

For the Software industry and Technology sector, Rightscorp's Price-to-Net-Net-Working-Capital distribution charts can be found below:

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



Rightscorp Net-Net Working Capital Calculation

Rightscorp's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2016 is calculated as

Net-Net Working Capital(A: Dec. 2016 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.005+0.75 * 0+0.5 * 0-2.216
-0-0)/127.463
=-0.02

Rightscorp's Net-Net Working Capital (NNWC) per share for the quarter that ended in Sep. 2017 is calculated as

Net-Net Working Capital(Q: Sep. 2017 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.003+0.75 * 0+0.5 * 0-2.426
-0-0)/160.920
=-0.02

* 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 $-0.02 mean?
Rightscorp (RIHT) has a Net-Net Working Capital of $-0.02 as of Sep. 2017. 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 Rightscorp
Is Rightscorp's Net-Net Working Capital too high?
Rightscorp's current Net-Net Working Capital is $-0.02.
How does Rightscorp's Net-Net Working Capital compare to ABVN and IVFZF?
Rightscorp's Net-Net Working Capital of $-0.02 can be compared against companies in the Software industry. The industry median Net-Net Working Capital is 6.84. 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 Software company?
The median Net-Net Working Capital among Software companies is 6.84, based on 1,209 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 Rightscorp For the Software industry, the median Net-Net Working Capital is 6.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rightscorp's current Net-Net Working Capital is $-0.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rightscorp stock overvalued right now?
Rightscorp (RIHT) has a current Net-Net Working Capital of $-0.02. The current Net-Net Working Capital is $-0.02. 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 Rightscorp (RIHT), the current Net-Net Working Capital is $-0.02 as of Sep. 2017. 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.

Rightscorp Business Description

Address 3100 Donald Douglas Loop North, Santa Monica, CA, USA, 90405
Rightscorp Inc is a technology company and has a patent-pending, proprietary method for collecting payments from illegal downloaders of copyrighted content via notifications sent to their internet service providers (ISPs). The company specializes in copyright enforcement and monetization for intellectual property owners and on identifying, educating, and collecting damages from alleged copyright infringers who share digital content-such as music, films, and video games-without authorization over peer-to-peer (P2P) networks.