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Al Eid Food Co (KUW:ALEID) Net-Net Working Capital : KWD0.04 (As of Mar. 2024)


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What is Al Eid Food 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.

Al Eid Food Co's Net-Net Working Capital for the quarter that ended in Mar. 2024 was KWD0.04.

The industry rank for Al Eid Food Co's Net-Net Working Capital or its related term are showing as below:

KUW:ALEID's Price-to-Net-Net-Working-Capital is ranked better than
54.93% of 71 companies
in the Retail - Defensive industry
Industry Median: 6.2 vs KUW:ALEID: 5.18

Al Eid Food Co Net-Net Working Capital Historical Data

The historical data trend for Al Eid Food 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.

Al Eid Food Co Net-Net Working Capital Chart

Al Eid Food Co Annual Data
Trend Dec11 Dec12 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.04 0.04 0.05 0.05 0.04

Al Eid Food Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.05 0.05 0.05 0.04 0.04

Competitive Comparison of Al Eid Food Co's Net-Net Working Capital

For the Food Distribution subindustry, Al Eid Food 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.


Al Eid Food Co's Price-to-Net-Net-Working-Capital Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Al Eid Food Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Al Eid Food Co's Price-to-Net-Net-Working-Capital falls into.



Al Eid Food Co Net-Net Working Capital Calculation

Al Eid Food Co's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2023 is calculated as

Net-Net Working Capital(A: Dec. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.942+0.75 * 22.109+0.5 * 27.058-17.569
-0-0.64)/303.316
=0.04

Al Eid Food Co's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2024 is calculated as

Net-Net Working Capital(Q: Mar. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.679+0.75 * 22.952+0.5 * 27.652-17.405
-0-0.698)/303.316
=0.04

* 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.


Al Eid Food Co  (KUW:ALEID) 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.


Al Eid Food Co Net-Net Working Capital Related Terms

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Al Eid Food Co (KUW:ALEID) Business Description

Traded in Other Exchanges
N/A
Address
Al Ardiya Industrial Area, P.O. Box 41081, Building 100, Block 2, Kuwait City, KWT, 85851
Al Eid Food Co is importing, distributes, packaging, and marketing food and consumer products. It specializes in food and beverage distribution in Kuwait. Its products include Alwaha, Seara, GoldAlex, Delicio, Rahma, and Sunlite. It also provides oils, pulses, spices, rice, seafood, nuts, and meat. Operating segments of the group are distributed over the State of Kuwait, and the Gulf co-operation council, and the majority of the revenue comes from the State of Kuwait.

Al Eid Food Co (KUW:ALEID) Headlines

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