RTC Group (LSE:RTC) Graham Number: £1.28 (As of Jun. 2026) — 75% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
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.

LSE:RTC RTC Group PLC LSE:RTC
81 GF Score
Price £0.90
GF Value £1.05
Valuation Modestly Undervalued
View Full Analysis

What is RTC Group Graham Number?

RTC Group LSE:RTC 81 Graham Number is £1.28 as of Jun. 2026, which is 100% below its 10-year median of 0.73. GuruFocus rates LSE:RTC with a GF Score™ of 81/100 and a GF Value™ of £1.05 (Modestly Undervalued). Among 700 Business Services companies, RTC Group ranks better than 78.29% 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 (2026-07-31), the stock price of RTC Group is £0.90. RTC Group's graham number for the quarter that ended in Jun. 2026 was £1.28. Therefore, RTC Group's Price to Graham Number ratio for today is 0.70.

The historical rank and industry rank for RTC Group's Graham Number or its related term are showing as below:

LSE:RTC' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.24   Med: 0.73   Max: 1.02
Current: 0.7

During the past 13 years, the highest Price to Graham Number ratio of RTC Group was 1.02. The lowest was 0.24. And the median was 0.73.

LSE:RTC's Price-to-Graham-Number is ranked better than
78.29% of 700 companies
in the Business Services industry
Industry Median: 1.195 vs LSE:RTC: 0.70

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


RTC Group  (LSE:RTC) 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.

RTC Group's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Jun. 2026 )
=0.90/1.28
=0.70

* 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.


RTC Group Graham Number Related Terms


RTC Group Graham Number Historical Data

* Premium members only.

The historical data trend for RTC Group'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.

RTC Group Graham Number Chart

RTC Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 1.23 1.29 1.42

RTC Group Semi-Annual Data
Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
Graham Number Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.34 1.29 1.33 1.42 1.28

LSE:RTC vs KFY, RHI, TNET: Graham Number Comparison

For the Staffing & Employment Services subindustry, RTC Group'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.


RTC Group Price-to-Graham-Number vs Business Services Industry

For the Business Services industry and Industrials sector, RTC Group's Price-to-Graham-Number distribution charts can be found below:

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


LSE:RTC
81GF Score
RTC Group PLC LSE:RTC
Graham Number is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

RTC Group Graham Number Calculation

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

RTC Group's Graham Number for the fiscal year that ended in Dec. 2025 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*0.632*0.141)
=1.42

RTC Group's Graham Number for the quarter that ended in Jun. 2026 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*0.621*0.117)
=1.28

* 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.

Frequently Asked Questions Learn more about Graham Number →
What does a Graham Number of £1.28 mean?
RTC Group (LSE:RTC) has a Graham Number of £1.28 as of Jun. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on RTC Group and its competitors. This is 75% above median its historical median of 0.73. Over the past decade, RTC Group's Graham Number has ranged from 0.24 to 1.02. According to the industry distribution chart, RTC Group ranks #152 out of 700 companies in the Business Services industry, placing it in the top 21.7%.
Is RTC Group's Graham Number too high?
RTC Group's current Graham Number of £1.28 is 75% above median its 10-year median of 0.73. Over the past 10 years, this metric has ranged from a low of 0.24 to a high of 1.02. Based on the distribution chart, RTC Group ranks #152 out of 700 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, RTC Group has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does RTC Group's Graham Number compare to KFY and RHI?
According to the Business Services industry distribution chart, RTC Group ranks #152 out of 700 companies for Graham Number. This places RTC Group in the top 22% of its industry — outperforming the majority of peers. The industry median Graham Number is 1.20. Historically, RTC Group's own Graham Number has ranged from 0.24 to 1.02 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 Business Services company?
The median Graham Number among Business Services companies is 1.20, based on 700 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 RTC Group and its competitors. For the Business Services industry, the median Graham Number is 1.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RTC Group's current Graham Number is £1.28, which is 75% above median its own 10-year median of 0.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RTC Group stock overvalued right now?
Based on GuruFocus' analysis, RTC Group (LSE:RTC) is currently considered Modestly Undervalued. The stock's GF Value™ is £1.05, compared to a current price of £0.90 — trading 14.3% below its estimated fair value. The current Graham Number is £1.28, which is 75% above median its 10-year median of 0.73. RTC Group's overall GF Score™ is 81/100. 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 RTC Group (LSE:RTC), the current Graham Number is £1.28 as of Jun. 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 RTC Group (LSE:RTC) Overvalued in 2026?

Based on GuruFocus' analysis, RTC Group stock appears to be undervalued. The current stock price of £0.90 is trading 14.3% below its estimated GF Value™ of £1.05. GuruFocus considers RTC Group to be Modestly Undervalued.

Key valuation signals for LSE:RTC:

  • Graham Number: £1.28 (75% above median its 10-year median of 0.73)
  • GF Value™: £1.05 vs. price of £0.90 (14.3% below fair value)
  • GF Score™: 81/100

No single metric tells the full story. See the LSE:RTC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


RTC Group Business Description

Address London Road, The Derby Conference Centre, Derby, GBR, DE24 8UX
RTC Group PLC is a holding company. Along with its subsidiaries, it is engaged in the provision of engineering and technical recruitment services that provide temporary and permanent labor to a broad range of industries and customers in both domestic and international markets. It focuses on white and blue-collar recruitment, providing temporary, permanent, and contingent staff to a range of industries and clients in both domestic and international markets. The Group's operating segments include UK Recruitment, UK Central Services, and International Recruitment. The majority of its revenues are generated from the UK Recruitment segment. Geographically, the group derives maximum revenue from the United Kingdom, and the rest from the United States and the Middle East.
81GF Score

Get the complete analysis for LSE:RTC

Graham Number is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£0.90
Price
£1.05
GF Value