GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » Winton Land Ltd (NZSE:WIN) » Definitions » Graham Number

Winton Land (NZSE:WIN) Graham Number : NZ$1.43 (As of Jun. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Winton Land 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 (2024-12-14), the stock price of Winton Land is NZ$1.91. Winton Land's graham number for the quarter that ended in Jun. 2024 was NZ$1.43. Therefore, Winton Land's Price to Graham Number ratio for today is 1.34.

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

NZSE:WIN' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.67   Med: 1.34   Max: 1.39
Current: 1.34

During the past 4 years, the highest Price to Graham Number ratio of Winton Land was 1.39. The lowest was 0.67. And the median was 1.34.

NZSE:WIN's Price-to-Graham-Number is ranked worse than
72.27% of 1107 companies
in the Real Estate industry
Industry Median: 0.83 vs NZSE:WIN: 1.34

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


Winton Land Graham Number Historical Data

The historical data trend for Winton Land'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.

Winton Land Graham Number Chart

Winton Land Annual Data
Trend Jun21 Jun22 Jun23 Jun24
Graham Number
- 2.05 2.84 1.42

Winton Land Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
Graham Number Get a 7-Day Free Trial - 2.51 2.84 2.26 1.43

Competitive Comparison of Winton Land's Graham Number

For the Real Estate - Development subindustry, Winton Land'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.


Winton Land's Price-to-Graham-Number Distribution in the Real Estate Industry

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

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



Winton Land Graham Number Calculation

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

Winton Land's Graham Number for the fiscal year that ended in Jun. 2024 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*1.745*0.051)
=1.42

Winton Land'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*1.745*0.052)
=1.43

* 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.


Winton Land  (NZSE:WIN) 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.

Winton Land's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Jun. 2024 )
=1.91/1.43
=1.34

* 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.


Winton Land Graham Number Related Terms

Thank you for viewing the detailed overview of Winton Land's Graham Number provided by GuruFocus.com. Please click on the following links to see related term pages.


Winton Land Business Description

Traded in Other Exchanges
Address
10 Viaduct Harbour Avenue, Level 4, Auckland, NTL, NZL, 1010
Winton Land Ltd is a privately owned developer with projects in New Zealand and Australia. It specializes in developing integrated and fully master-planned communities. The company has a portfolio of several resident lots, dwellings, apartment units, and retirement village units. The company has three reportable segments which are Residential development, Retirement villages, and Commercial portfolio and the company generates the majority of its revenue from residential development.

Winton Land Headlines

No Headlines