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.
HDFC BankHDB +0.46%17 Graham Number is $19.40 as of Mar. 2025. GuruFocus rates HDB with a GF Score™ of 17/100. Among 1,436 Banks companies, HDFC Bank ranks worse than 69637.81% 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 (2026-07-17), the stock price of HDFC Bank is $26.31. HDFC Bank's graham number for the quarter that ended in Mar. 2025 was $19.40. Therefore, HDFC Bank's Price to Graham Number ratio for today is 1.36.
The historical rank and industry rank for HDFC Bank's Graham Number or its related term are showing as below:
HDB's Price-to-Graham-Number is not ranked *
in the Banks industry.
Industry Median: 0.81 * Ranked among companies with meaningful Price-to-Graham-Number only.
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
HDFC Bank (NYSE:HDB) 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.
HDFC Bank's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2025 )
=
26.31
/
19.40
=
1.36
* 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.
HDFC Bank Graham Number Related Terms
HDFC Bank Graham Number Historical Data
* Premium members only.
The historical data trend for HDFC Bank'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 Banks - Regional subindustry, HDFC Bank'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.
HDFC Bank Price-to-Graham-Number vs Banks Industry
For the Banks industry and Financial Services sector, HDFC Bank's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where HDFC Bank'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.
HDFC Bank (HDB) has a Graham Number of $19.40 as of Mar. 2025. The Graham Number values a company based on its per-share earnings and book value. View historical data on HDFC Bank and its competitors. According to the industry distribution chart, HDFC Bank ranks #999999 out of 1436 companies in the Banks industry.
Is HDFC Bank's Graham Number too high?
HDFC Bank's current Graham Number is $19.40. The Banks industry median Graham Number is 0.81. HDFC Bank's value of $19.40 is 2295.1% above this industry median. Based on the distribution chart, HDFC Bank ranks #999999 out of 1436 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, HDFC Bank has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does HDFC Bank's Graham Number compare to PNC and USB?
According to the Banks industry distribution chart, HDFC Bank ranks #999999 out of 1436 companies for Graham Number. This places HDFC Bank in the lower half of its industry. The industry median Graham Number is 0.81. HDFC Bank's value of $19.40 is 2295.1% 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 a Banks company?
The median Graham Number among Banks companies is 0.81, based on 1,436 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. HDFC Bank's current Graham Number of $19.40 is 2295.1% 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 HDFC Bank and its competitors. For the Banks industry, the median Graham Number is 0.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HDFC Bank's current Graham Number is $19.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HDFC Bank stock overvalued right now?
HDFC Bank (HDB) has a current Graham Number of $19.40. The current Graham Number is $19.40 and 2295.1% above the Banks industry median of 0.81. HDFC Bank's overall GF Score™ is 17/100. 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 HDFC Bank (HDB), the current Graham Number is $19.40 as of Mar. 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.
HDFC Bank Ltd is an Indian bank. It operates in the following segments: Treasury, Retail banking, Wholesale banking, and Other banking business. The maximum revenue for the company is generated from its Retail banking segment, which serves retail customers through its branch network and other channels. This segment raises customer deposits and provides loans and other services to customers using different product groups. Its other operations include providing wholesale banking services to corporates, government entities, and other enterprises, generating income from its treasury operations, and performing para-banking activities such as offering credit cards, debit cards, etc. Geographically, the company generates a majority of its revenue from its operations in India.
17GF Score
Get the complete analysis for HDB
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
HDB has been successfully added to your 
