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MK Restaurant Group PCL (BKK:M) Graham Number : ฿21.75 (As of Sep. 2024)


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What is MK Restaurant Group PCL Graham Number?

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 (2024-12-11), the stock price of MK Restaurant Group PCL is ฿25.75. MK Restaurant Group PCL's graham number for the quarter that ended in Sep. 2024 was ฿21.75. Therefore, MK Restaurant Group PCL's Price to Graham Number ratio for today is 1.18.

The historical rank and industry rank for MK Restaurant Group PCL's Graham Number or its related term are showing as below:

BKK:M' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.18   Med: 2.48   Max: 8.6
Current: 1.18

During the past 13 years, the highest Price to Graham Number ratio of MK Restaurant Group PCL was 8.60. The lowest was 1.18. And the median was 2.48.

BKK:M's Price-to-Graham-Number is ranked better than
75.25% of 202 companies
in the Restaurants industry
Industry Median: 1.86 vs BKK:M: 1.18

Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.


MK Restaurant Group PCL Graham Number Historical Data

The historical data trend for MK Restaurant Group PCL'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.

* Premium members only.

MK Restaurant Group PCL Graham Number Chart

MK Restaurant Group PCL Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.38 11.50 6.05 20.48 22.64

MK Restaurant Group PCL Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Graham Number 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 20.79 22.60 23.23 22.30 21.75

Competitive Comparison of MK Restaurant Group PCL's Graham Number

For the Restaurants subindustry, MK Restaurant Group PCL'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.


MK Restaurant Group PCL's Price-to-Graham-Number Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, MK Restaurant Group PCL's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where MK Restaurant Group PCL's Price-to-Graham-Number falls into.



MK Restaurant Group PCL Graham Number Calculation

Graham Number is a concept based on Ben Graham's conservative valuation of companies.

MK Restaurant Group PCL's Graham Number for the fiscal year that ended in Dec. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*12.453*1.83)
=22.64

MK Restaurant Group PCL's Graham Number for the quarter that ended in Sep. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*12.065*1.743)
=21.75

* 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.


MK Restaurant Group PCL  (BKK:M) 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.

MK Restaurant Group PCL's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Sep. 2024 )
=25.75/21.75
=1.18

* 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.


MK Restaurant Group PCL Graham Number Related Terms

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MK Restaurant Group PCL Business Description

Traded in Other Exchanges
Address
1200 Debaratna Road, Bangnatai, Bangna, Bangkok, THA, 10260
MK Restaurant Group PCL operates in Suki, Thai, and Japanese restaurants in Thailand under brand names including MK, Siam, Yayoi, Miyazaki, and Hakata. The company also has a franchise agreement with Plenus-MK Limited for that company to operate franchised Sukiyaki restaurants in Japan. In addition to the restaurants, MK Restaurant Group has a smaller training service provider segment that provides management service and training to other companies. It generates the majority of its revenue comes from Thailand.