Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
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.
First Trust Senior Floating Rateome Fund II (NYSE:FCT) 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.
First Trust Senior Floating Rateome Fund II's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: May. 2026 )
=
9.67
/
9.88
=
0.98
* 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.
First Trust Senior Floating Rateome Fund II Graham Number Related Terms
First Trust Senior Floating Rateome Fund II 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.
First Trust Senior Floating Rateome Fund II Graham Number Chart
First Trust Senior Floating Rateome Fund II Annual Data
For the Asset Management subindustry, First Trust Senior Floating Rateome Fund II'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.
First Trust Senior Floating Rateome Fund II Price-to-Graham-Number vs Asset Management Industry
For the Asset Management industry and Financial Services sector, First Trust Senior Floating Rateome Fund II's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where First Trust Senior Floating Rateome Fund II'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.
First Trust Senior Floating Rateome Fund II (FCT) has a Graham Number of $9.88 as of May. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on First Trust Senior Floating Rateome Fund II and its competitors. According to the industry distribution chart, First Trust Senior Floating Rateome Fund II ranks #799 out of 1162 companies in the Asset Management industry, placing it in the top 68.8%.
Is First Trust Senior Floating Rateome Fund II's Graham Number too high?
First Trust Senior Floating Rateome Fund II's current Graham Number is $9.88. The Asset Management industry median Graham Number is 0.69. First Trust Senior Floating Rateome Fund II's value of $9.88 is 1331.9% above this industry median. Based on the distribution chart, First Trust Senior Floating Rateome Fund II ranks #799 out of 1162 companies in the Asset Management industry, which is below the industry midpoint. Overall, First Trust Senior Floating Rateome Fund II has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does First Trust Senior Floating Rateome Fund II's Graham Number compare to NUW and JRS?
According to the Asset Management industry distribution chart, First Trust Senior Floating Rateome Fund II ranks #799 out of 1162 companies for Graham Number. This places First Trust Senior Floating Rateome Fund II in the lower half of its industry. The industry median Graham Number is 0.69. First Trust Senior Floating Rateome Fund II's value of $9.88 is 1331.9% above 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 Asset Management company?
The median Graham Number among Asset Management companies is 0.69, based on 1,162 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. First Trust Senior Floating Rateome Fund II's current Graham Number of $9.88 is 1331.9% above 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 First Trust Senior Floating Rateome Fund II and its competitors. For the Asset Management industry, the median Graham Number is 0.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. First Trust Senior Floating Rateome Fund II's current Graham Number is $9.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is First Trust Senior Floating Rateome Fund II stock overvalued right now?
Based on GuruFocus' analysis, First Trust Senior Floating Rateome Fund II (FCT) is currently considered Significantly Overvalued. The stock's GF Value™ is $5.44, compared to a current price of $9.67 — trading 77.8% above its estimated fair value. The current Graham Number is $9.88 and 1331.9% above the Asset Management industry median of 0.69. First Trust Senior Floating Rateome Fund II's overall GF Score™ is 38/100 with 7 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 First Trust Senior Floating Rateome Fund II (FCT), the current Graham Number is $9.88 as of May. 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 First Trust Senior Floating Rateome Fund II (FCT) Overvalued in 2026?
Based on GuruFocus' analysis, First Trust Senior Floating Rateome Fund II stock appears to be overvalued.
The current stock price of $9.67 is trading 77.8% above its estimated GF Value™ of $5.44.
GuruFocus considers First Trust Senior Floating Rateome Fund II to be Significantly Overvalued.
Key valuation signals for FCT:
Graham Number: $9.88
GF Value™: $5.44 vs. price of $9.67 (77.8% above fair value)
Industry Position: 1331.9% above the Asset Management median (#799 of 1162)
No single metric tells the full story. See the FCT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
First Trust Senior Floating Rate Income Fund II is a United States-based diversified, closed-end management investment company. Its investment objective is to seek a high level of current income. As a secondary objective, it attempts to preserve capital. The fund invests in a portfolio of senior secured floating-rate corporate loans (Senior Loans) of companies from different industries, such as Insurance, Software, Health Care Providers and Services, Professional Services, Health Care Technology, IT Services, and others.
38GF Score
Get the complete analysis for FCT
Graham Number is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FCT has been successfully added to your 
