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S Alam Cold Rolled Steels (DHA:SALAMCRST) Graham Number : BDT8.17 (As of Mar. 2024)


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What is S Alam Cold Rolled Steels 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 (2024-05-15), the stock price of S Alam Cold Rolled Steels is BDT23.40. S Alam Cold Rolled Steels's graham number for the quarter that ended in Mar. 2024 was BDT8.17. Therefore, S Alam Cold Rolled Steels's Price to Graham Number ratio for today is 2.86.

The historical rank and industry rank for S Alam Cold Rolled Steels's Graham Number or its related term are showing as below:

DHA:SALAMCRST' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.03   Med: 1.58   Max: 3.06
Current: 2.86

During the past 13 years, the highest Price to Graham Number ratio of S Alam Cold Rolled Steels was 3.06. The lowest was 1.03. And the median was 1.58.

DHA:SALAMCRST's Price-to-Graham-Number is ranked worse than
90.04% of 452 companies
in the Steel industry
Industry Median: 0.9 vs DHA:SALAMCRST: 2.86

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


S Alam Cold Rolled Steels Graham Number Historical Data

The historical data trend for S Alam Cold Rolled Steels'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.

S Alam Cold Rolled Steels Graham Number Chart

S Alam Cold Rolled Steels Annual Data
Trend Sep13 Sep14 Sep15 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 21.44 15.34 19.34 16.73 14.30

S Alam Cold Rolled Steels Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 16.65 14.33 12.96 10.88 8.17

Competitive Comparison of S Alam Cold Rolled Steels's Graham Number

For the Steel subindustry, S Alam Cold Rolled Steels'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.


S Alam Cold Rolled Steels's Price-to-Graham-Number Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, S Alam Cold Rolled Steels's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where S Alam Cold Rolled Steels's Price-to-Graham-Number falls into.



S Alam Cold Rolled Steels Graham Number Calculation

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

S Alam Cold Rolled Steels's Graham Number for the fiscal year that ended in Jun. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*18.548*0.49)
=14.30

S Alam Cold Rolled Steels's Graham Number for the quarter that ended in Mar. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*18.331*0.162)
=8.17

* 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.


S Alam Cold Rolled Steels  (DHA:SALAMCRST) 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.

S Alam Cold Rolled Steels's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Mar. 2024 )
=23.40/8.17
=2.86

* 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.


S Alam Cold Rolled Steels Graham Number Related Terms

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S Alam Cold Rolled Steels (DHA:SALAMCRST) Business Description

Traded in Other Exchanges
N/A
Address
S. Alam Bhaban, Asadgonj, Chattogram, BGD, 2119
S Alam Cold Rolled Steels Ltd is a steel manufacturing company. Its business activities include manufacturing and marketing cold rolled steel strips and galvanized steel sheets. The company has two business segments - the Cold Rolled Strips segment, which includes purchasing hot roll and manufacturing and distribution of cold-rolled strips; and the Non-Oxide Furnace segment which comprises purchasing cold-rolled strips and manufacturing and distribution of galvanized steel sheets.

S Alam Cold Rolled Steels (DHA:SALAMCRST) Headlines

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