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Bank of AmericaXSWX:BAC 78 Graham Number is CHF40.68 as of Mar. 2026, which is 100% below its 10-year median of 0.94. GuruFocus rates XSWX:BAC with a GF Score™ of 78/100 and a GF Value™ of CHF40.39. The stock has 7 warning signs investors should review. Among 1,438 Banks companies, Bank of America ranks worse than 82.96% 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 (2026-07-14), the stock price of Bank of America is CHF48.065. Bank of America's graham number for the quarter that ended in Mar. 2026 was CHF40.68. Therefore, Bank of America's Price to Graham Number ratio for today is 1.18.
The historical rank and industry rank for Bank of America's Graham Number or its related term are showing as below:
XSWX:BAC'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.6 Med: 0.94 Max: 1.21
Current: 1.16
During the past 13 years, the highest Price to Graham Number ratio of Bank of America was 1.21. The lowest was 0.60. And the median was 0.94.
XSWX:BAC's Price-to-Graham-Number is ranked worse than 82.96% of 1438
companies
in the Banks industry
Industry Median: 0.8
vs XSWX:BAC: 1.16
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Bank of America (XSWX:BAC) 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.
Bank of America's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
48.065
/
40.68
=
1.18
* 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.
Bank of America Graham Number Related Terms
Bank of America Graham Number Historical Data
* Premium members only.
The historical data trend for Bank of America'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.
For the Banks - Diversified subindustry, Bank of America'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.
Bank of America Price-to-Graham-Number vs Banks Industry
For the Banks industry and Financial Services sector, Bank of America's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Bank of America'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.
Bank of America (XSWX:BAC) has a Graham Number of CHF40.68 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Bank of America and its competitors. This is 4228% above median its historical median of 0.94. Over the past decade, Bank of America's Graham Number has ranged from 0.60 to 1.21. According to the industry distribution chart, Bank of America ranks #1193 out of 1438 companies in the Banks industry, placing it in the top 83%.
Is Bank of America's Graham Number too high?
Bank of America's current Graham Number of CHF40.68 is 4228% above median its 10-year median of 0.94. Over the past 10 years, this metric has ranged from a low of 0.60 to a high of 1.21. Based on the distribution chart, Bank of America ranks #1193 out of 1438 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Bank of America has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does Bank of America's Graham Number compare to WFC and C?
According to the Banks industry distribution chart, Bank of America ranks #1193 out of 1438 companies for Graham Number. This places Bank of America in the lower half of its industry. The industry median Graham Number is 0.80. Historically, Bank of America's own Graham Number has ranged from 0.60 to 1.21 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 Banks company?
The median Graham Number among Banks companies is 0.80, based on 1,438 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 Bank of America and its competitors. For the Banks industry, the median Graham Number is 0.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bank of America's current Graham Number is CHF40.68, which is 4228% above median its own 10-year median of 0.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bank of America stock overvalued right now?
Bank of America (XSWX:BAC) has a current Graham Number of CHF40.68. The stock's GF Value™ is CHF40.39, compared to a current price of CHF48.07 — trading 19% above its estimated fair value. The current Graham Number is CHF40.68, which is 4228% above median its 10-year median of 0.94. Bank of America's overall GF Score™ is 78/100 with 7 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 Bank of America (XSWX:BAC), the current Graham Number is CHF40.68 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 Bank of America (XSWX:BAC) Overvalued in 2026?
Based on GuruFocus' analysis, Bank of America stock appears to be overvalued.
The current stock price of CHF48.07 is trading 19% above its estimated GF Value™ of CHF40.39.
Key valuation signals for XSWX:BAC:
Graham Number: CHF40.68 (4228% above median its 10-year median of 0.94)
GF Value™: CHF40.39 vs. price of CHF48.07 (19% above fair value)
No single metric tells the full story. See the XSWX:BAC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bank of America is a formidable financial titan with a $3.5 trillion balance sheet and a cornerstone of the American economy, holding the second-largest deposit market share in the United States. While the firm has maintained its stronghold among middle-market and retail clientele domestically, Bank of America has continued to hold its own on the global stage, as evidenced by its fourth-largest global trading operation and an investment banking division that regularly finishes in the top four in global league tables. The firm is organized across four segments: consumer banking, global wealth and investment management, global banking, and global markets.
78GF Score
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