Roundtop Machinery Industries Co (TPE:1540) Graham Number: NT$21.96 (As of Jun. 2026) — 2340% Above Median

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Director of Data and Quant Analytics at GuruFocus
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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.

TPE:1540 Roundtop Machinery Industries Co Ltd TPE:1540
85 GF Score
Price NT$19.20
GF Value NT$21.91
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is Roundtop Machinery Industries Co Graham Number?

Roundtop Machinery Industries Co TPE:1540 85 Graham Number is NT$21.96 as of Jun. 2026, which is 100% below its 10-year median of 0.90. GuruFocus rates TPE:1540 with a GF Score™ of 85/100 and a GF Value™ of NT$21.91 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 2,215 Industrial Products companies, Roundtop Machinery Industries Co ranks better than 76.7% 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 (2026-08-17), the stock price of Roundtop Machinery Industries Co is NT$19.20. Roundtop Machinery Industries Co's graham number for the quarter that ended in Jun. 2026 was NT$21.96. Therefore, Roundtop Machinery Industries Co's Price to Graham Number ratio for today is 0.87.

The historical rank and industry rank for Roundtop Machinery Industries Co's Graham Number or its related term are showing as below:

TPE:1540' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.63   Med: 0.9   Max: 5.46
Current: 1

During the past 13 years, the highest Price to Graham Number ratio of Roundtop Machinery Industries Co was 5.46. The lowest was 0.63. And the median was 0.90.

TPE:1540's Price-to-Graham-Number is ranked better than
76.7% of 2215 companies
in the Industrial Products industry
Industry Median: 1.81 vs TPE:1540: 1.00

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


Roundtop Machinery Industries Co  (TPE:1540) 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.

Roundtop Machinery Industries Co's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Jun. 2026 )
=19.20/21.96
=0.87

* 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.


Roundtop Machinery Industries Co Graham Number Related Terms


Roundtop Machinery Industries Co Graham Number Historical Data

* Premium members only.

The historical data trend for Roundtop Machinery Industries Co'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.

Roundtop Machinery Industries Co Graham Number Chart

Roundtop Machinery Industries Co 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 21.35 22.19 29.12 20.92

Roundtop Machinery Industries Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 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 16.85 19.92 20.92 19.14 21.96

TPE:1540 vs GEV, ETN, PH: Graham Number Comparison

For the Specialty Industrial Machinery subindustry, Roundtop Machinery Industries Co'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.


Roundtop Machinery Industries Co Price-to-Graham-Number vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Roundtop Machinery Industries Co's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Roundtop Machinery Industries Co's Price-to-Graham-Number falls into.


TPE:1540
85GF Score
Roundtop Machinery Industries Co Ltd TPE:1540
Graham Number is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Roundtop Machinery Industries Co Graham Number Calculation

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

Roundtop Machinery Industries Co'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*17.303*1.124)
=20.92

Roundtop Machinery Industries Co'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*17.574*1.22)
=21.96

* 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 NT$21.96 mean?
Roundtop Machinery Industries Co (TPE:1540) has a Graham Number of NT$21.96 as of Jun. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Roundtop Machinery Industries Co and its competitors. This is 2340% above median its historical median of 0.90. Over the past decade, Roundtop Machinery Industries Co's Graham Number has ranged from 0.63 to 5.46. According to the industry distribution chart, Roundtop Machinery Industries Co ranks #516 out of 2215 companies in the Industrial Products industry, placing it in the top 23.3%.
Is Roundtop Machinery Industries Co's Graham Number too high?
Roundtop Machinery Industries Co's current Graham Number of NT$21.96 is 2340% above median its 10-year median of 0.90. Over the past 10 years, this metric has ranged from a low of 0.63 to a high of 5.46. Based on the distribution chart, Roundtop Machinery Industries Co ranks #516 out of 2215 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Roundtop Machinery Industries Co has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Roundtop Machinery Industries Co's Graham Number compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Roundtop Machinery Industries Co ranks #516 out of 2215 companies for Graham Number. This places Roundtop Machinery Industries Co in the top 23% of its industry — outperforming the majority of peers. The industry median Graham Number is 1.81. Historically, Roundtop Machinery Industries Co's own Graham Number has ranged from 0.63 to 5.46 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 an Industrial Products company?
The median Graham Number among Industrial Products companies is 1.81, based on 2,215 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 Roundtop Machinery Industries Co and its competitors. For the Industrial Products industry, the median Graham Number is 1.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Roundtop Machinery Industries Co's current Graham Number is NT$21.96, which is 2340% above median its own 10-year median of 0.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Roundtop Machinery Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Roundtop Machinery Industries Co (TPE:1540) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$21.91, compared to a current price of NT$19.20 — trading 12.4% below its estimated fair value. The current Graham Number is NT$21.96, which is 2340% above median its 10-year median of 0.90. Roundtop Machinery Industries Co's overall GF Score™ is 85/100 with 3 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 Roundtop Machinery Industries Co (TPE:1540), the current Graham Number is NT$21.96 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 Roundtop Machinery Industries Co (TPE:1540) Overvalued in 2026?

Based on GuruFocus' analysis, Roundtop Machinery Industries Co stock appears to be undervalued. The current stock price of NT$19.20 is trading 12.4% below its estimated GF Value™ of NT$21.91. GuruFocus considers Roundtop Machinery Industries Co to be Modestly Undervalued.

Key valuation signals for TPE:1540:

  • Graham Number: NT$21.96 (2340% above median its 10-year median of 0.90)
  • GF Value™: NT$21.91 vs. price of NT$19.20 (12.4% below fair value)
  • GF Score™: 85/100 with 3 warning signs

No single metric tells the full story. See the TPE:1540 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Roundtop Machinery Industries Co Business Description

Address No. 1056, Zhongshan Road, Shengang District, Taichung City, TWN, 42952
Roundtop Machinery Industries Co Ltd is mainly engaged in the manufacturing and selling of machine tools, including milling machines, CNC milling machines, lathes, CNC lathes, various cutting centers, plastic machines, and spare parts. Geographically, the company generates the majority of its revenue from Asia and the rest from the Americas, Europe, and other regions.
85GF Score

Get the complete analysis for TPE:1540

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

NT$19.20
Price
NT$21.91
GF Value