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Mercury NZASX:MCY +3.67%83 Graham Number is A$1.93 as of Dec. 2025, which is 100% below its 10-year median of 1.40. GuruFocus rates ASX:MCY with a GF Score™ of 83/100 and a GF Value™ of A$5.25 (Fairly Valued). The stock has 11 warning signs investors should review. Among 275 Utilities - Independent Power Producers companies, Mercury NZ ranks worse than 87.64% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-22), the stock price of Mercury NZ is A$5.65. Mercury NZ's graham number for the quarter that ended in Dec. 2025 was A$1.93. Therefore, Mercury NZ's Price to Graham Number ratio for today is 2.93.
The historical rank and industry rank for Mercury NZ's Graham Number or its related term are showing as below:
ASX:MCY'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.06 Med: 1.4 Max: 21.46
Current: 3.04
During the past 13 years, the highest Price to Graham Number ratio of Mercury NZ was 21.46. The lowest was 1.06. And the median was 1.40.
ASX:MCY's Price-to-Graham-Number is ranked worse than 87.64% of 275
companies
in the Utilities - Independent Power Producers industry
Industry Median: 1.14
vs ASX:MCY: 3.04
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Mercury NZ (ASX:MCY) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Mercury NZ's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Dec. 2025 )
=
5.65
/
1.93
=
2.93
* 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.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Mercury NZ Graham Number Related Terms
Mercury NZ Graham Number Historical Data
* Premium members only.
The historical data trend for Mercury NZ's Graham Number 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.
For the Utilities - Renewable subindustry, Mercury NZ's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number 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.
Mercury NZ Price-to-Graham-Number vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Mercury NZ's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Mercury NZ's Price-to-Graham-Number falls into.
* 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.
Mercury NZ (ASX:MCY) has a Graham Number of A$1.93 as of Dec. 2025. The Graham Number values a company based on its per-share earnings and book value. View historical data on Mercury NZ and its competitors. This is 38% above median its historical median of 1.40. Over the past decade, Mercury NZ's Graham Number has ranged from 1.06 to 21.46. According to the industry distribution chart, Mercury NZ ranks #241 out of 275 companies in the Utilities - Independent Power Producers industry, placing it in the top 87.6%.
Is Mercury NZ's Graham Number too high?
Mercury NZ's current Graham Number of A$1.93 is 38% above median its 10-year median of 1.40. Over the past 10 years, this metric has ranged from a low of 1.06 to a high of 21.46. Based on the distribution chart, Mercury NZ ranks #241 out of 275 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Mercury NZ has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Mercury NZ's Graham Number compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Mercury NZ ranks #241 out of 275 companies for Graham Number. This places Mercury NZ in the lower half of its industry. The industry median Graham Number is 1.14. Historically, Mercury NZ's own Graham Number has ranged from 1.06 to 21.46 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for an Utilities - Independent Power Producers company?
The median Graham Number among Utilities - Independent Power Producers companies is 1.14, based on 275 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number 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 Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Mercury NZ and its competitors. For the Utilities - Independent Power Producers industry, the median Graham Number is 1.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercury NZ's current Graham Number is A$1.93, which is 38% above median its own 10-year median of 1.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercury NZ stock overvalued right now?
Based on GuruFocus' analysis, Mercury NZ (ASX:MCY) is currently considered Fairly Valued. The stock's GF Value™ is A$5.25, compared to a current price of A$5.65 — trading 7.6% above its estimated fair value. The current Graham Number is A$1.93, which is 38% above median its 10-year median of 1.40. Mercury NZ's overall GF Score™ is 83/100 with 11 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Mercury NZ (ASX:MCY), the current Graham Number is A$1.93 as of Dec. 2025. 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.
Is Mercury NZ (ASX:MCY) Overvalued in 2026?
Based on GuruFocus' analysis, Mercury NZ stock appears to be overvalued.
The current stock price of A$5.65 is trading 7.6% above its estimated GF Value™ of A$5.25.
GuruFocus considers Mercury NZ to be Fairly Valued.
Key valuation signals for ASX:MCY:
Graham Number: A$1.93 (38% above median its 10-year median of 1.40)
GF Value™: A$5.25 vs. price of A$5.65 (7.6% above fair value)
No single metric tells the full story. See the ASX:MCY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mercury NZ (formerly Mighty River Power) generates more than 15% of New Zealand's electricity and is one of the four major electricity generators and suppliers in the country. All electricity is generated from renewable sources, which makes it one of the lowest-cost providers of electricity. The company operates nine hydro stations and five geothermal power plants in the North Island and some wind farms. Mercury sells electricity to residential and commercial customers and has the largest share of the key Auckland market.
83GF Score
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