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Two stone & Sons (TSE:7352) Net-Net Working Capital : 円-24.50 (As of Feb. 2024)


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What is Two stone & Sons 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.

Two stone & Sons's Net-Net Working Capital for the quarter that ended in Feb. 2024 was 円-24.50.

The industry rank for Two stone & Sons's Net-Net Working Capital or its related term are showing as below:

TSE:7352's Price-to-Net-Net-Working-Capital is not ranked *
in the Business Services industry.
Industry Median: 5.565
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Two stone & Sons Net-Net Working Capital Historical Data

The historical data trend for Two stone & Sons'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.

Two stone & Sons Net-Net Working Capital Chart

Two stone & Sons Annual Data
Trend Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Net-Net Working Capital
Get a 7-Day Free Trial 2.93 6.68 5.57 -3.33 -19.08

Two stone & Sons Quarterly Data
Aug18 Aug19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 -2.66 -7.60 -19.08 -19.65 -24.50

Competitive Comparison of Two stone & Sons's Net-Net Working Capital

For the Specialty Business Services subindustry, Two stone & Sons'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.


Two stone & Sons's Price-to-Net-Net-Working-Capital Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Two stone & Sons's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Two stone & Sons's Price-to-Net-Net-Working-Capital falls into.



Two stone & Sons Net-Net Working Capital Calculation

Two stone & Sons's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Aug. 2023 is calculated as

Net-Net Working Capital(A: Aug. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1289.67+0.75 * 1464.945+0.5 * 0-3189.016
-0-0)/41.9716
=-19.08

Two stone & Sons's Net-Net Working Capital (NNWC) per share for the quarter that ended in Feb. 2024 is calculated as

Net-Net Working Capital(Q: Feb. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1490.614+0.75 * 1702.542+0.5 * 21.564-3807.325
-0-0)/41.9937
=-24.50

* 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.


Two stone & Sons  (TSE:7352) 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.


Two stone & Sons Net-Net Working Capital Related Terms

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Two stone & Sons (TSE:7352) Business Description

Traded in Other Exchanges
N/A
Address
2-22-3 Shibuya, Shibuya East Exit Building 6F, Shibuya-ku, Tokyo, JPN, 150-0002
Two Stone & Sons Inc is an engineering company providing engineering resources to companies, media businesses, and programming school businesses. The company develops services such as in-house media management and client solutions such as contract development.

Two stone & Sons (TSE:7352) Headlines

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