GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Southern Peru Copper Corp - Sucursal Del Peru (LIM:SPCCPI2) » Definitions » Graham Number

Southern Peru Copper - Sucursal Del Peru (LIM:SPCCPI2) Graham Number : S/.109.35 (As of Jun. 2024)


View and export this data going back to 1980. Start your Free Trial

What is Southern Peru Copper - Sucursal Del Peru Graham Number?

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 (2025-05-06), the stock price of Southern Peru Copper - Sucursal Del Peru is S/.80.35. Southern Peru Copper - Sucursal Del Peru's graham number for the quarter that ended in Jun. 2024 was S/.109.35. Therefore, Southern Peru Copper - Sucursal Del Peru's Price to Graham Number ratio for today is 0.82.

The historical rank and industry rank for Southern Peru Copper - Sucursal Del Peru's Graham Number or its related term are showing as below:

LIM:SPCCPI2' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.58   Med: 0.76   Max: 1.22
Current: 1.21

During the past 3 years, the highest Price to Graham Number ratio of Southern Peru Copper - Sucursal Del Peru was 1.22. The lowest was 0.58. And the median was 0.76.

LIM:SPCCPI2's Price-to-Graham-Number is ranked worse than
52.41% of 540 companies
in the Metals & Mining industry
Industry Median: 1.145 vs LIM:SPCCPI2: 1.21

Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.


Southern Peru Copper - Sucursal Del Peru Graham Number Historical Data

The historical data trend for Southern Peru Copper - Sucursal Del Peru'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.

* Premium members only.

Southern Peru Copper - Sucursal Del Peru Graham Number Chart

Southern Peru Copper - Sucursal Del Peru Annual Data
Trend Dec11 Dec12 Dec13
Graham Number
- 61.49 61.37

Southern Peru Copper - Sucursal Del Peru Quarterly Data
Dec12 Dec13 Mar22 Jun22 Sep22 Mar23 Jun23 Sep23 Mar24 Jun24
Graham Number Get a 7-Day Free Trial Premium Member Only Premium Member Only 101.51 95.27 98.04 100.84 109.35

Competitive Comparison of Southern Peru Copper - Sucursal Del Peru's Graham Number

For the Other Industrial Metals & Mining subindustry, Southern Peru Copper - Sucursal Del Peru'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.


Southern Peru Copper - Sucursal Del Peru's Price-to-Graham-Number Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Southern Peru Copper - Sucursal Del Peru's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Southern Peru Copper - Sucursal Del Peru's Price-to-Graham-Number falls into.


;
;

Southern Peru Copper - Sucursal Del Peru Graham Number Calculation

Graham Number is a concept based on Ben Graham's conservative valuation of companies.

Southern Peru Copper - Sucursal Del Peru's Graham Number for the fiscal year that ended in Dec. 2013 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*23.792*7.036)
=61.37

Southern Peru Copper - Sucursal Del Peru's Graham Number for the quarter that ended in Jun. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*39.406*10.884)
=98.24

* 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.


Southern Peru Copper - Sucursal Del Peru  (LIM:SPCCPI2) 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.

Southern Peru Copper - Sucursal Del Peru's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Jun. 2024 )
=80.35/98.24
=0.82

* 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.


Southern Peru Copper - Sucursal Del Peru Graham Number Related Terms

Thank you for viewing the detailed overview of Southern Peru Copper - Sucursal Del Peru's Graham Number provided by GuruFocus.com. Please click on the following links to see related term pages.


Southern Peru Copper - Sucursal Del Peru Business Description

Traded in Other Exchanges
Address
Av. Caminos del Inca No. 171, Urb. Chacarilla del Estanque, Santiago de Surco, Lima, PER, 33
Southern Peru Copper Corp - Sucursal Del Peru produces copper in the Moquegua and Tacna provinces of Peru. The company mines for copper ore to produce copper concentrates and molybdenum concentrates. It has operations in North America, South America, Europe, Africa, Asia, and Australia.

Southern Peru Copper - Sucursal Del Peru Headlines

No Headlines