Graham Valuation
| GHM Stock | USD 71.00 1.08 1.54% |
At this time, the firm appears to be overvalued. Graham retains a regular Real Value of $66.33 per share. The prevalent price of the firm is $71.0. Our model calculates the value of Graham from evaluating the firm fundamentals such as return on equity of 0.11, and Return On Asset of 0.0372 as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Graham's valuation include:
Price Book 6.1145 | Enterprise Value | Enterprise Value Ebitda 32.9588 | Price Sales 3.3712 | Forward PE 109.8901 |
Overvalued
Today
Please note that Graham's price fluctuation is very steady at this time. Calculation of the real value of Graham is based on 3 months time horizon. Increasing Graham's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Graham stock is determined by what a typical buyer is willing to pay for full or partial control of Graham. Since Graham is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Graham Stock. However, Graham's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 71.0 | Real 66.33 | Target 75.5 | Hype 71.42 | Naive 68.95 |
The intrinsic value of Graham's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Graham's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Graham helps investors to forecast how Graham stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Graham more accurately as focusing exclusively on Graham's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Graham's intrinsic value based on its ongoing forecasts of Graham's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Graham's closest peers.
Graham Cash |
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Graham Revenue by Product
Graham Total Value Analysis
Graham is currently forecasted to have company total value of 765.9 M with market capitalization of 768.28 M, debt of 6.85 M, and cash on hands of 21.58 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Graham fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
765.9 M | 768.28 M | 6.85 M | 21.58 M |
Graham Investor Information
About 85.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 0.77. Graham last dividend was issued on the 8th of November 2021. The entity had 2:1 split on the 7th of October 2008. Graham is performing exceptionally good at this time. It has a great probability to report excellent financial results in March.Graham Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Graham has an asset utilization ratio of 79.47 percent. This suggests that the Company is making $0.79 for each dollar of assets. An increasing asset utilization means that Graham is more efficient with each dollar of assets it utilizes for everyday operations.Graham Profitability Analysis
Taking into consideration Graham's profitability measurements, Graham's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Graham's ability to earn profits and add value for shareholders.Net Income | First Reported 1985-09-30 | Previous Quarter 4.6 M | Current Value 3.1 M | Quarterly Volatility 2.1 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.29 | 0.3171 |
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For Graham profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Graham to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Graham utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Graham's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Graham over time as well as its relative position and ranking within its peers.
Graham Earnings per Share Projection vs Actual
The next projected EPS of Graham is estimated to be 0.46875 with future projections ranging from a low of 0.4525 to a high of 0.485. Graham's most recent 12-month trailing earnings per share (EPS TTM) is at 1.21. Please be aware that the consensus of earnings estimates for Graham is based on EPS before non-recurring items and includes expenses related to employee stock options.Graham Earnings Estimation Breakdown
The calculation of Graham's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Graham is estimated to be 0.46875 with the future projection ranging from a low of 0.4525 to a high of 0.485. Please be aware that this consensus of annual earnings estimates for Graham is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
0.45 Lowest | Expected EPS | 0.48 Highest |
Graham Earnings Projection Consensus
Suppose the current estimates of Graham's value are higher than the current market price of the Graham stock. In this case, investors may conclude that Graham is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Graham's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of March 2027 | Current EPS (TTM) | |
| 4 | 32.34% | 0.0 | 0.46875 | 1.21 |
Graham Ownership Allocation
The market capitalization of Graham is $768.28 Million. The majority of Graham outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Graham to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Graham. Please pay attention to any change in the institutional holdings of Graham as this could imply that something significant has changed or is about to change at the company. Please take into account that even companies with profitable outlook can generate negative future returns on their equity. If the true value of the firm is less than the current market value, you may not be able generate positive returns on investment in the long run.Graham Profitability Analysis
The company reported the last year's revenue of 209.9 M. Total Income to common stockholders was 12.23 M with profit before taxes, overhead, and interest of 56.72 M.About Graham Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Graham. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Graham based exclusively on its fundamental and basic technical indicators. By analyzing Graham's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Graham's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Graham. We calculate exposure to Graham's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Graham's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 60.8 M | 63.8 M | |
| Pretax Profit Margin | 0.08 | 0.04 | |
| Operating Profit Margin | 0.08 | 0.04 | |
| Net Profit Margin | 0.06 | 0.06 | |
| Gross Profit Margin | 0.32 | 0.29 |
Graham Growth Indicators
Investing in growth stocks can be very risky. If the company such as Graham does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 11.1 M | |
| Quarterly Earnings Growth Y O Y | -0.067 | |
| Forward Price Earnings | 109.8901 |
Graham Current Valuation Indicators
Graham's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Graham's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Graham, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Graham's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Graham's worth.When determining whether Graham is a strong investment it is important to analyze Graham's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Graham's future performance. For an informed investment choice regarding Graham Stock, refer to the following important reports: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Graham. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in rate. To learn how to invest in Graham Stock, please use our How to Invest in Graham guide.You can also try the Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Will Industrial Machinery & Supplies & Components sector continue expanding? Could Graham diversify its offerings? Factors like these will boost the valuation of Graham. Market participants price Graham higher when confident in its future expansion prospects. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Graham data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth (0.07) | Earnings Share 1.21 | Revenue Per Share | Quarterly Revenue Growth 0.233 | Return On Assets |
The market value of Graham is measured differently than its book value, which is the value of Graham that is recorded on the company's balance sheet. Investors also form their own opinion of Graham's value that differs from its market value or its book value, called intrinsic value, which is Graham's true underlying value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Because Graham's market value can be influenced by many factors that don't directly affect Graham's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Graham's value and its price as these two are different measures arrived at by different means. Investors typically determine if Graham is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. Meanwhile, Graham's quoted price indicates the marketplace figure where supply meets demand through bilateral consent.