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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.
The historical rank and industry rank for China New Higher Education Group's Graham Number or its related term are showing as below:
CNEWF'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.11 Med: 0.91 Max: 2.94
Current: 0.11
During the past 11 years, the highest Price to Graham Number ratio of China New Higher Education Group was 2.94. The lowest was 0.11. And the median was 0.91.
CNEWF's Price-to-Graham-Number is ranked better than 96.05% of 152
companies
in the Education industry
Industry Median: 1.225
vs CNEWF: 0.11
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
China New Higher Education Group (OTCPK:CNEWF) 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.
China New Higher Education Group's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Feb. 2026 )
=
0.0635
/
0.57
=
0.11
* 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.
China New Higher Education Group Graham Number Related Terms
China New Higher Education Group Graham Number Historical Data
* 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.
China New Higher Education Group Graham Number Chart
For the Education & Training Services subindustry, China New Higher Education Group'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.
China New Higher Education Group Price-to-Graham-Number vs Education Industry
For the Education industry and Consumer Defensive sector, China New Higher Education Group's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where China New Higher Education Group'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.
China New Higher Education Group (CNEWF) has a Graham Number of $0.57 as of Feb. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on China New Higher Education Group and its competitors. According to the industry distribution chart, China New Higher Education Group ranks #6 out of 152 companies in the Education industry, placing it in the top 3.9%.
Is China New Higher Education Group's Graham Number too high?
China New Higher Education Group's current Graham Number is $0.57. The Education industry median Graham Number is 1.23. China New Higher Education Group's value of $0.57 is 53.5% below this industry median. Based on the distribution chart, China New Higher Education Group ranks #6 out of 152 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, China New Higher Education Group has a GF Score™ of 81/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does China New Higher Education Group's Graham Number compare to EDU and TAL?
According to the Education industry distribution chart, China New Higher Education Group ranks #6 out of 152 companies for Graham Number. This places China New Higher Education Group in the top 4% of its industry — outperforming the majority of peers. The industry median Graham Number is 1.23. China New Higher Education Group's value of $0.57 is 53.5% below this benchmark. 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 Education company?
The median Graham Number among Education companies is 1.23, based on 152 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. China New Higher Education Group's current Graham Number of $0.57 is 53.5% below the industry median. 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 China New Higher Education Group and its competitors. For the Education industry, the median Graham Number is 1.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China New Higher Education Group's current Graham Number is $0.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China New Higher Education Group stock overvalued right now?
Based on GuruFocus' analysis, China New Higher Education Group (CNEWF) is currently considered Possible Value Trap. The stock's GF Value™ is $0.22, compared to a current price of $0.06 — trading 71.1% below its estimated fair value. The current Graham Number is $0.57 and 53.5% below the Education industry median of 1.23. China New Higher Education Group's overall GF Score™ is 81/100 with 4 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 China New Higher Education Group (CNEWF), the current Graham Number is $0.57 as of Feb. 2026. 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 China New Higher Education Group (CNEWF) Overvalued in 2026?
Based on GuruFocus' analysis, China New Higher Education Group stock appears to be undervalued.
The current stock price of $0.06 is trading 71.1% below its estimated GF Value™ of $0.22.
GuruFocus considers China New Higher Education Group to be Possible Value Trap.
Key valuation signals for CNEWF:
Graham Number: $0.57
GF Value™: $0.22 vs. price of $0.06 (71.1% below fair value)
Industry Position: 53.5% below the Education median (#6 of 152)
No single metric tells the full story. See the CNEWF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China New Higher Education Group Ltd is engaged in the operations of Yunnan School, Guizhou School, Central China School, Northeast School, Luoyang School, Guangxi Schools, Gansu School and Zhengzhou School. The Group provides education services in the PRC and operates within one geographical location, as all revenues were generated in the PRC.
81GF Score
Get the complete analysis for CNEWF
Graham Number is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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