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Dis-Chem PharmaciesJSE:DCP -1.60%88 Graham Number is R10.80 as of Feb. 2026, which is 100% below its 10-year median of 3.64. GuruFocus rates JSE:DCP with a GF Score™ of 88/100 and a GF Value™ of R38.38 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 370 Healthcare Providers & Services companies, Dis-Chem Pharmacies ranks worse than 71.89% 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 (2026-08-12), the stock price of Dis-Chem Pharmacies is R29.51. Dis-Chem Pharmacies's graham number for the quarter that ended in Feb. 2026 was R10.80. Therefore, Dis-Chem Pharmacies's Price to Graham Number ratio for today is 2.73.
The historical rank and industry rank for Dis-Chem Pharmacies's Graham Number or its related term are showing as below:
JSE:DCP'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 2.73 Med: 3.64 Max: 6.9
Current: 2.73
During the past 13 years, the highest Price to Graham Number ratio of Dis-Chem Pharmacies was 6.90. The lowest was 2.73. And the median was 3.64.
JSE:DCP's Price-to-Graham-Number is ranked worse than 71.89% of 370
companies
in the Healthcare Providers & Services industry
Industry Median: 1.62
vs JSE:DCP: 2.73
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Dis-Chem Pharmacies (JSE:DCP) 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.
Dis-Chem Pharmacies's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Feb. 2026 )
=
29.51
/
10.80
=
2.73
* 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.
Dis-Chem Pharmacies Graham Number Related Terms
Dis-Chem Pharmacies Graham Number Historical Data
* Premium members only.
The historical data trend for Dis-Chem Pharmacies'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.
Dis-Chem Pharmacies Graham Number Competitor Comparison
For the Pharmaceutical Retailers subindustry, Dis-Chem Pharmacies'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.
Dis-Chem Pharmacies Price-to-Graham-Number vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Dis-Chem Pharmacies's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Dis-Chem Pharmacies'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.
Dis-Chem Pharmacies (JSE:DCP) has a Graham Number of R10.80 as of Feb. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Dis-Chem Pharmacies and its competitors. This is 197% above median its historical median of 3.64. Over the past decade, Dis-Chem Pharmacies' Graham Number has ranged from 2.73 to 6.90. According to the industry distribution chart, Dis-Chem Pharmacies ranks #266 out of 370 companies in the Healthcare Providers & Services industry, placing it in the top 71.9%.
Is Dis-Chem Pharmacies' Graham Number too high?
Dis-Chem Pharmacies' current Graham Number of R10.80 is 197% above median its 10-year median of 3.64. Over the past 10 years, this metric has ranged from a low of 2.73 to a high of 6.90. Based on the distribution chart, Dis-Chem Pharmacies ranks #266 out of 370 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Dis-Chem Pharmacies has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dis-Chem Pharmacies' Graham Number compare to competitors?
According to the Healthcare Providers & Services industry distribution chart, Dis-Chem Pharmacies ranks #266 out of 370 companies for Graham Number. This places Dis-Chem Pharmacies in the lower half of its industry. The industry median Graham Number is 1.62. Historically, Dis-Chem Pharmacies' own Graham Number has ranged from 2.73 to 6.90 over the past decade. 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 Healthcare Providers & Services company?
The median Graham Number among Healthcare Providers & Services companies is 1.62, based on 370 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. 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 Dis-Chem Pharmacies and its competitors. For the Healthcare Providers & Services industry, the median Graham Number is 1.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dis-Chem Pharmacies's current Graham Number is R10.80, which is 197% above median its own 10-year median of 3.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dis-Chem Pharmacies stock overvalued right now?
Based on GuruFocus' analysis, Dis-Chem Pharmacies (JSE:DCP) is currently considered Modestly Undervalued. The stock's GF Value™ is R38.38, compared to a current price of R29.51 — trading 23.1% below its estimated fair value. The current Graham Number is R10.80, which is 197% above median its 10-year median of 3.64. Dis-Chem Pharmacies' overall GF Score™ is 88/100 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 Dis-Chem Pharmacies (JSE:DCP), the current Graham Number is R10.80 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 Dis-Chem Pharmacies (JSE:DCP) Overvalued in 2026?
Based on GuruFocus' analysis, Dis-Chem Pharmacies stock appears to be undervalued.
The current stock price of R29.51 is trading 23.1% below its estimated GF Value™ of R38.38.
GuruFocus considers Dis-Chem Pharmacies to be Modestly Undervalued.
Key valuation signals for JSE:DCP:
Graham Number: R10.80 (197% above median its 10-year median of 3.64)
GF Value™: R38.38 vs. price of R29.51 (23.1% below fair value)
No single metric tells the full story. See the JSE:DCP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dis-Chem Pharmacies Ltd is a pharmaceutical company based in South Africa. Its product portfolio includes personal care products, beauty products, healthcare and nutrition products, and dispensary and baby care products. The operating segments of the group are Retail and Wholesale. It derives maximum revenue from the Retail segment, which includes company stores, retailers of pharmaceuticals and a variety of health and beauty products, as well as pharma-logistic services and oncology and retailers of pharmaceutical products. The Wholesale segment consists of the CJ wholesale and company distribution businesses, wholesalers of pharmaceuticals, and a variety of health and beauty products. Geographically, the group carries out its business operations principally in South Africa.
88GF Score
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