GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Lion Posim Bhd (XKLS:8486) » Definitions » Graham Number

Lion Posim Bhd (XKLS:8486) Graham Number : RM1.82 (As of Dec. 2024)


View and export this data going back to 1992. Start your Free Trial

What is Lion Posim Bhd 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 (2025-04-18), the stock price of Lion Posim Bhd is RM0.32. Lion Posim Bhd's graham number for the quarter that ended in Dec. 2024 was RM1.82. Therefore, Lion Posim Bhd's Price to Graham Number ratio for today is 0.18.

The historical rank and industry rank for Lion Posim Bhd's Graham Number or its related term are showing as below:

XKLS:8486' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.11   Med: 0.28   Max: 0.43
Current: 0.18

During the past 13 years, the highest Price to Graham Number ratio of Lion Posim Bhd was 0.43. The lowest was 0.11. And the median was 0.28.

XKLS:8486's Price-to-Graham-Number is ranked better than
98.98% of 294 companies
in the Building Materials industry
Industry Median: 1.04 vs XKLS:8486: 0.18

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


Lion Posim Bhd Graham Number Historical Data

The historical data trend for Lion Posim Bhd'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.

Lion Posim Bhd Graham Number Chart

Lion Posim Bhd Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Dec22 Dec23 Dec24
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.48 2.82 1.12 1.45 1.82

Lion Posim Bhd Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Sep21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 1.48 1.61 1.86 1.82

Competitive Comparison of Lion Posim Bhd's Graham Number

For the Building Materials subindustry, Lion Posim Bhd'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.


Lion Posim Bhd's Price-to-Graham-Number Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Lion Posim Bhd's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Lion Posim Bhd's Price-to-Graham-Number falls into.


;
;

Lion Posim Bhd Graham Number Calculation

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

Lion Posim Bhd's Graham Number for the fiscal year that ended in Dec. 2024 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*3.345*0.044)
=1.82

Lion Posim Bhd's Graham Number for the quarter that ended in Dec. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*3.345*0.044)
=1.82

* 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.


Lion Posim Bhd  (XKLS:8486) 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.

Lion Posim Bhd's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Dec. 2024 )
=0.32/1.82
=0.18

* 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.


Lion Posim Bhd Graham Number Related Terms

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


Lion Posim Bhd Business Description

Traded in Other Exchanges
N/A
Address
Wisma Posim, Lot 72, Persiaran Jubli Perak, Shah Alam, SGR, MYS, 40000
Lion Posim Bhd trades in and distributes building materials and steel products in Malaysia and internationally. It operates through three segments. The Building materials and steel products segment which is the key revenue driver for the firm trades and distributes building and construction materials, including steel bars, bricks, cement, roofing products, wall tiles, and Steel Products; Lubricants, Petroleum, and Automotive Products segment which manufacture and trades automotive components, as well as petroleum-based products comprising automotive and industrial lubricants. Other includes retail of consumer products, including hairbrushes, and body care products, provides transportation, energy management and conservation, and training services. The firm mainly operates in Malaysia.

Lion Posim Bhd Headlines

No Headlines