WINR (Simplicity Esports and Gaming Co) Net-Net Working Capital: $-0.45 (As of Feb. 2023)

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WINR Simplicity Esports and Gaming Co WINR
12 GF Score
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What is Simplicity Esports and Gaming Co Net-Net Working Capital?

Simplicity Esports and Gaming Co WINR -99.00% 12 Net-Net Working Capital is $-0.45 as of Feb. 2023. GuruFocus rates WINR with a GF Score™ of 12/100.

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.

Simplicity Esports and Gaming Co's Net-Net Working Capital for the quarter that ended in Feb. 2023 was $-0.45.

The industry rank for Simplicity Esports and Gaming Co's Net-Net Working Capital or its related term are showing as below:

WINR's Price-to-Net-Net-Working-Capital is not ranked *
in the Interactive Media industry.
Industry Median: 4.65
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Simplicity Esports and Gaming Co  (OTCPK:WINR) 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.


Simplicity Esports and Gaming Co Net-Net Working Capital Related Terms


Simplicity Esports and Gaming Co Net-Net Working Capital Historical Data

* Premium members only.

The historical data trend for Simplicity Esports and Gaming 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.

Simplicity Esports and Gaming Co Net-Net Working Capital Chart

Simplicity Esports and Gaming Co Annual Data
Trend May17 May18 May19 May20 May21 May22
Net-Net Working Capital
Get a 7-Day Free Trial -1.89 -0.40 -3.39 -3.61 -4.03

Simplicity Esports and Gaming Co Quarterly Data
May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23
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 -3.81 -4.03 -2.66 -1.25 -0.45

WINR vs ATVI, NTES, EA: Net-Net Working Capital Comparison

For the Electronic Gaming & Multimedia subindustry, Simplicity Esports and Gaming 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.


Simplicity Esports and Gaming Co Price-to-Net-Net-Working-Capital vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Simplicity Esports and Gaming Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Simplicity Esports and Gaming Co's Price-to-Net-Net-Working-Capital falls into.


WINR
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Simplicity Esports and Gaming Co WINR
Net-Net Working Capital is just one metric. See GF Score™, valuation, warning signs, and more.
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Simplicity Esports and Gaming Co Net-Net Working Capital Calculation

Simplicity Esports and Gaming Co's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in May. 2022 is calculated as

Net-Net Working Capital(A: May. 2022 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.103+0.75 * 0.061+0.5 * 0.115-7.673
-0--0.079)/1.831
=-4.03

Simplicity Esports and Gaming Co's Net-Net Working Capital (NNWC) per share for the quarter that ended in Feb. 2023 is calculated as

Net-Net Working Capital(Q: Feb. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.029+0.75 * 0.029+0.5 * 0-9.569
-0-0.151)/21.686
=-0.45

* 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 $-0.45 mean?
Simplicity Esports and Gaming Co (WINR) has a Net-Net Working Capital of $-0.45 as of Feb. 2023. 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 Simplicity Esports and Gaming Co
Is Simplicity Esports and Gaming Co's Net-Net Working Capital too high?
Simplicity Esports and Gaming Co's current Net-Net Working Capital is $-0.45. Overall, Simplicity Esports and Gaming Co has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Simplicity Esports and Gaming Co's Net-Net Working Capital compare to ATVI and NTES?
Simplicity Esports and Gaming Co's Net-Net Working Capital of $-0.45 can be compared against companies in the Interactive Media industry. The industry median Net-Net Working Capital is 4.65. 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 an Interactive Media company?
The median Net-Net Working Capital among Interactive Media companies is 4.65, based on 301 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 Simplicity Esports and Gaming Co For the Interactive Media industry, the median Net-Net Working Capital is 4.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Simplicity Esports and Gaming Co's current Net-Net Working Capital is $-0.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Simplicity Esports and Gaming Co stock overvalued right now?
Simplicity Esports and Gaming Co (WINR) has a current Net-Net Working Capital of $-0.45. The current Net-Net Working Capital is $-0.45. Simplicity Esports and Gaming Co's overall GF Score™ is 12/100. 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 Simplicity Esports and Gaming Co (WINR), the current Net-Net Working Capital is $-0.45 as of Feb. 2023. 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.

Simplicity Esports and Gaming Co Business Description

Address 7000 W. Palmetto Park Road, Suite 505, Boca Raton, FL, USA, 33433
Simplicity Esports and Gaming Co is a North American esports organization managing esports teams domestically and internationally. The company through its subsidiaries owns and manages professional esports teams competing in games such as Overwatch, Apex Legends, PUBG, and more. The company owns Corporate and Franchised Gaming Centers.
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