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Knowles (NYSE:KN) Graham Number

: $N/A (As of Mar. 2023)
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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 (2023-06-02), the stock price of Knowles is $17.28. Knowles's graham number for the quarter that ended in Mar. 2023 was $N/A. Therefore, Knowles's Price to Graham Number ratio for today is N/A.

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

During the past 12 years, the highest Price to Graham Number ratio of Knowles was 32.70. The lowest was 0.00. And the median was 4.22.

KN's Price-to-Graham-Number is not ranked *
in the Hardware industry.
Industry Median: 1.40
* Ranked among companies with meaningful Price-to-Graham-Number only.

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


Knowles Graham Number Historical Data

The historical data trend for Knowles'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.

Knowles Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Graham Number
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.92 6.11 1.52 12.80 -

Knowles Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
Graham Number 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 Premium Member Only Premium Member Only Premium Member Only 13.20 - - - -

Competitive Comparison

For the Communication Equipment subindustry, Knowles's Graham Number, along with its competitors' market caps and 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.

   

Knowles Graham Number Distribution

For the Hardware industry and Technology sector, Knowles's Graham Number distribution charts can be found below:

* The bar in red indicates where Knowles's Graham Number falls in comparison to its industry or sector. The grey bar indicates the Graham Number's extreme value range as defined by GuruFocus.



Knowles Graham Number Calculation

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

Knowles's Graham Number for the fiscal year that ended in Dec. 2022 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*4.796*-4.69)
=N/A

Knowles's Graham Number for the quarter that ended in Mar. 2023 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*4.753*-4.95)
=N/A

* 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.


Knowles  (NYSE:KN) 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.

Knowles's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Mar. 2023 )
=17.28/N/A
=N/A

* 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.


Knowles Graham Number Related Terms

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


Knowles (NYSE:KN) Business Description

Knowles logo
Traded in Other Exchanges
Address
1151 Maplewood Drive, Itasca, IL, USA, 60143
Knowles Corp is a provider of advanced micro-acoustic, audio processing, and precision device solutions. It primarily serves the mobile consumer electronics, communications, medical, defense, aerospace, and industrial markets. The business activities of the group are functioned through Audio and PD segments. The Audio segment designs and manufactures innovative audio products, including microphones and balanced armature speakers, audio processors, and software and algorithms used in applications that serve the mobile, ear, and IoT markets, Whereas the PD group specializes in the design and delivery of highly engineered capacitors and RF devices for technically demanding applications. The majority of the revenue is generated from the Audio segment.
Executives
Daniel J Crowley director 870 WINTER STREET, WALTHAM MA 02451
Michael S Wishart director SPANSION INC., 915 DEGUIGNE DRIVE, SUNNYVALE CA 94085-3836
Robert J Perna officer: Senior VP, Gen.Cnsl.,Secretary 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
Steven F Mayer director 11812 SAN VICENTE BLVD. # 300, LOS ANGELES CA 90049
Bastarrica Air A. Jr. officer: Vice President & Controller 1151 MAPLEWOOD DR, ITASCA IL 60143-2071
Ye Jane Li director 200 FLYNN ROAD, CAMARILLO CA 93012-8790
Cheryl L Shavers director 400 COLLINS ROAD NE, M/S 124-323, CEDAR RAPIDS IA 52498
Michael S. Polacek officer: President, Intelligent Audio KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
Richard K Lochridge director C/O DOVER CORPORATION, 3005 HIGHLAND PARKWAY, SUITE 200, DOWNERS GROVE IL 60515
Hermann Eul director C/O KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
James F. Wynn officer: SVP, Global Supply Chain KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
Gordon A. Walker officer: Co-President, SC KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
Paul M Dickinson officer: SVP - Corp. Development KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143
Bryan E. Mittelman officer: VP, Controller THE MIDDLEBY CORPORATION, 1400 TOASTMASTER DRIVE, ELGIN IL 60120
David W. Wightman officer: Co-President, SC KNOWLES CORPORATION, 1151 MAPLEWOOD DRIVE, ITASCA IL 60143

Knowles (NYSE:KN) Headlines

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