What is Western Asset Highome Fund II Graham Number?
Western Asset Highome Fund IIHIX -0.25%50 Graham Number is $6.89 as of Apr. 2026, which is 944% above its 10-year median of 0.66. GuruFocus rates HIX with a GF Score™ of 50/100 and a GF Value™ of $6.05 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,173 Asset Management companies, Western Asset Highome Fund II ranks better than 67.35% 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.
The historical rank and industry rank for Western Asset Highome Fund II's Graham Number or its related term are showing as below:
HIX'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.45 Med: 0.66 Max: 1.17
Current: 0.57
During the past 9 years, the highest Price to Graham Number ratio of Western Asset Highome Fund II was 1.17. The lowest was 0.45. And the median was 0.66.
HIX's Price-to-Graham-Number is ranked better than 67.35% of 1173
companies
in the Asset Management industry
Industry Median: 0.71
vs HIX: 0.57
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Western Asset Highome Fund II (NYSE:HIX) 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.
Western Asset Highome Fund II's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Apr. 2026 )
=
3.95
/
6.89
=
0.57
* 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.
Western Asset Highome Fund II Graham Number Related Terms
Western Asset Highome 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.
For the Asset Management subindustry, Western Asset Highome 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.
Western Asset Highome Fund II Price-to-Graham-Number vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Western Asset Highome Fund II's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Western Asset Highome 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.
Western Asset Highome Fund II (HIX) has a Graham Number of $6.89 as of Apr. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Western Asset Highome Fund II and its competitors. This is 944% above median its historical median of 0.66. Over the past decade, Western Asset Highome Fund II's Graham Number has ranged from 0.45 to 1.17. According to the industry distribution chart, Western Asset Highome Fund II ranks #383 out of 1173 companies in the Asset Management industry, placing it in the top 32.7%.
Is Western Asset Highome Fund II's Graham Number too high?
Western Asset Highome Fund II's current Graham Number of $6.89 is 944% above median its 10-year median of 0.66. Over the past 10 years, this metric has ranged from a low of 0.45 to a high of 1.17. The Asset Management industry median Graham Number is 0.71. Western Asset Highome Fund II's value of $6.89 is 870.4% above this industry median. Based on the distribution chart, Western Asset Highome Fund II ranks #383 out of 1173 companies in the Asset Management industry, which is above the industry midpoint. Overall, Western Asset Highome Fund II has a GF Score™ of 50/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Western Asset Highome Fund II's Graham Number compare to MIY and JGH?
According to the Asset Management industry distribution chart, Western Asset Highome Fund II ranks #383 out of 1173 companies for Graham Number. This puts Western Asset Highome Fund II in the upper half of its industry. The industry median Graham Number is 0.71. Western Asset Highome Fund II's value of $6.89 is 870.4% above this benchmark. Historically, Western Asset Highome Fund II's own Graham Number has ranged from 0.45 to 1.17 over the past decade. While the company's 10-year median is 0.66 vs. the industry median of 0.71, Western Asset Highome Fund II has consistently been above the industry average. 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 0.71, based on 1,173 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. Western Asset Highome Fund II's current Graham Number of $6.89 is 870.4% 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 Western Asset Highome Fund II and its competitors. For the Asset Management industry, the median Graham Number is 0.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Western Asset Highome Fund II's current Graham Number is $6.89, which is 944% above median its own 10-year median of 0.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Western Asset Highome Fund II stock overvalued right now?
Based on GuruFocus' analysis, Western Asset Highome Fund II (HIX) is currently considered Significantly Undervalued. The stock's GF Value™ is $6.05, compared to a current price of $3.95 — trading 34.7% below its estimated fair value. The current Graham Number is $6.89, which is 944% above median its 10-year median of 0.66 and 870.4% above the Asset Management industry median of 0.71. Western Asset Highome Fund II's overall GF Score™ is 50/100 with 3 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 Western Asset Highome Fund II (HIX), the current Graham Number is $6.89 as of Apr. 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 Western Asset Highome Fund II (HIX) Overvalued in 2026?
Based on GuruFocus' analysis, Western Asset Highome Fund II stock appears to be undervalued.
The current stock price of $3.95 is trading 34.7% below its estimated GF Value™ of $6.05.
GuruFocus considers Western Asset Highome Fund II to be Significantly Undervalued.
Key valuation signals for HIX:
Graham Number: $6.89 (944% above median its 10-year median of 0.66)
GF Value™: $6.05 vs. price of $3.95 (34.7% below fair value)
Industry Position: 870.4% above the Asset Management median (#383 of 1173)
No single metric tells the full story. See the HIX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Western Asset Highome Fund II Business Description
Western Asset High Income Fund II Inc is a diversified closed-end management investment company. Its investment objective is to maximize current income by investing at least 80% of its net assets and borrowings for investment purposes in high-yield debt securities.
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