Rugby Estates (LSE:RES) Graham Number : £N/A (As of Jul. 2012)

Rugby Estates Graham Number Chart

Rugby Estates Annual Data
	Trend	Jan03	Jan04	Jan05	Jan06	Jan07	Jan08	Jan09	Jan10	Jan11	Jan12
Graham Number		Get a 7-Day Free Trial					67.49	-	42.79	48.30	-

Rugby Estates Semi-Annual Data
	Jul03	Jan04	Jul04	Jan05	Jul05	Jan06	Jul06	Jan07	Jul07	Jan08	Jul08	Jan09	Jul09	Jan10	Jul10	Jan11	Jul11	Jan12	Jul12
Graham Number	Get a 7-Day Free Trial														180.19	58.06	-	-	-

Competitive Comparison of Rugby Estates's Graham Number

For the Real Estate Services subindustry, Rugby Estates'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.

Rugby Estates's Price-to-Graham-Number Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Rugby Estates's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Rugby Estates's Price-to-Graham-Number falls into.

Rugby Estates Graham Number Calculation

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

Rugby Estates's Graham Number for the fiscal year that ended in Jan. 2012 is calculated as

Rugby Estates's Graham Number for the quarter that ended in Jul. 2012 is calculated as

* 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.

Rugby Estates  (LSE:RES) 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.

Rugby Estates's Price to Graham number Ratio for today is calculated as

* 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.

Rugby Estates Graham Number Related Terms

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Rugby Estates Business Description