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Densan CoTSE:3640 -0.32%66 Graham Number is 円6,974.26 as of Mar. 2026, which is 100% below its 10-year median of 1.14. GuruFocus rates TSE:3640 with a GF Score™ of 66/100 and a GF Value™ of 円2,617.23 (Fairly Valued). Among 686 Semiconductors companies, Densan Co ranks better than 97.08% 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 (2026-08-24), the stock price of Densan Co is 円2778.00. Densan Co's graham number for the quarter that ended in Mar. 2026 was 円6,974.26. Therefore, Densan Co's Price to Graham Number ratio for today is 0.39.
The historical rank and industry rank for Densan Co's Graham Number or its related term are showing as below:
TSE:3640'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.39 Med: 1.14 Max: 2.18
Current: 0.39
During the past 13 years, the highest Price to Graham Number ratio of Densan Co was 2.18. The lowest was 0.39. And the median was 1.14.
TSE:3640's Price-to-Graham-Number is ranked better than 97.08% of 686
companies
in the Semiconductors industry
Industry Median: 2.475
vs TSE:3640: 0.39
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
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.
Densan Co's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
2778.00
/
7,144.41
=
0.39
* 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.
Densan Co Graham Number Related Terms
Densan Co Graham Number Historical Data
* Premium members only.
The historical data trend for Densan 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.
TSE:3640 vs NVDA, AVGO, MU: Graham Number Comparison
For the Semiconductors subindustry, Densan 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.
Densan Co Price-to-Graham-Number vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Densan Co's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Densan Co's Price-to-Graham-Number falls into.
* 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.
Densan Co (TSE:3640) has a Graham Number of 円6,974.26 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Densan Co and its competitors. This is 611677% above median its historical median of 1.14. Over the past decade, Densan Co's Graham Number has ranged from 0.39 to 2.18. According to the industry distribution chart, Densan Co ranks #20 out of 686 companies in the Semiconductors industry, placing it in the top 2.9%.
Is Densan Co's Graham Number too high?
Densan Co's current Graham Number of 円6,974.26 is 611677% above median its 10-year median of 1.14. Over the past 10 years, this metric has ranged from a low of 0.39 to a high of 2.18. Based on the distribution chart, Densan Co ranks #20 out of 686 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Densan Co has a GF Score™ of 66/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Densan Co's Graham Number compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Densan Co ranks #20 out of 686 companies for Graham Number. This places Densan Co in the top 3% of its industry — outperforming the majority of peers. The industry median Graham Number is 2.48. Historically, Densan Co's own Graham Number has ranged from 0.39 to 2.18 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 Semiconductors company?
The median Graham Number among Semiconductors companies is 2.48, based on 686 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 Densan Co and its competitors. For the Semiconductors industry, the median Graham Number is 2.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Densan Co's current Graham Number is 円6,974.26, which is 611677% above median its own 10-year median of 1.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Densan Co stock overvalued right now?
Based on GuruFocus' analysis, Densan Co (TSE:3640) is currently considered Fairly Valued. The stock's GF Value™ is 円2,617.23, compared to a current price of 円2,778.00 — trading 6.1% above its estimated fair value. The current Graham Number is 円6,974.26, which is 611677% above median its 10-year median of 1.14. Densan Co's overall GF Score™ is 66/100. 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 Densan Co (TSE:3640), the current Graham Number is 円6,974.26 as of Mar. 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 Densan Co (TSE:3640) Overvalued in 2026?
Based on GuruFocus' analysis, Densan Co stock appears to be overvalued.
The current stock price of 円2,778.00 is trading 6.1% above its estimated GF Value™ of 円2,617.23.
GuruFocus considers Densan Co to be Fairly Valued.
Key valuation signals for TSE:3640:
Graham Number: 円6,974.26 (611677% above median its 10-year median of 1.14)
GF Value™: 円2,617.23 vs. price of 円2,778.00 (6.1% above fair value)
No single metric tells the full story. See the TSE:3640 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Densan Co Ltd is engaged in the development and provision of information systems and related services. Its reporting segments include the Public Sector and the Industrial Sector. In the Public Sector, it serves local governments and related organizations by developing, selling, and supporting package systems, as well as offering equipment sales and information processing services. The Industrial Sector focuses on private enterprises and medical and welfare institutions, offering software development, equipment sales, and various information services. It also includes internet connectivity services for general consumers. It generates the majority of its revenue from the Public Sector segment.
66GF Score
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