GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Brown (N) Group PLC (OTCPK:NBRNF) » Definitions » Graham Number

Brown (N) Group (Brown (N) Group) Graham Number : $0.28 (As of Aug. 2023)


View and export this data going back to 2014. Start your Free Trial

What is Brown (N) Group 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 (2024-05-10), the stock price of Brown (N) Group is $0.5417. Brown (N) Group's graham number for the quarter that ended in Aug. 2023 was $0.28. Therefore, Brown (N) Group's Price to Graham Number ratio for today is 1.91.

The historical rank and industry rank for Brown (N) Group's Graham Number or its related term are showing as below:

NBRNF' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.3   Med: 0.82   Max: 1.97
Current: 0.67

During the past 13 years, the highest Price to Graham Number ratio of Brown (N) Group was 1.97. The lowest was 0.30. And the median was 0.82.

NBRNF's Price-to-Graham-Number is ranked better than
79.07% of 712 companies
in the Retail - Cyclical industry
Industry Median: 1.28 vs NBRNF: 0.67

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


Brown (N) Group Graham Number Historical Data

The historical data trend for Brown (N) Group'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.

Brown (N) Group Graham Number Chart

Brown (N) Group Annual Data
Trend Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.15 1.89 1.44 1.50 0.51

Brown (N) Group Semi-Annual Data
Feb14 Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23
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 1.27 1.51 1.05 0.51 0.28

Competitive Comparison of Brown (N) Group's Graham Number

For the Internet Retail subindustry, Brown (N) Group'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.


Brown (N) Group's Price-to-Graham-Number Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Brown (N) Group's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Brown (N) Group's Price-to-Graham-Number falls into.



Brown (N) Group Graham Number Calculation

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

Brown (N) Group's Graham Number for the fiscal year that ended in Feb. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*0.872*0.013)
=0.51

Brown (N) Group's Graham Number for the quarter that ended in Aug. 2023 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*0.892*0.004)
=0.28

* 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.


Brown (N) Group  (OTCPK:NBRNF) 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.

Brown (N) Group's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Aug. 2023 )
=0.5417/0.28
=1.91

* 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.


Brown (N) Group Graham Number Related Terms

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


Brown (N) Group (Brown (N) Group) Business Description

Traded in Other Exchanges
Address
40 Lever Street, Griffin House, Manchester, GBR, M60 6ES
Brown (N) Group PLC is an apparel, footwear, and homeware retailer, based in the UK. The company's main brands are Simply Be JD Williams, and Jacamo. The JD Williams brand is targeted to plus-size consumers with ranges for women, men, home, and kids. Simply Be offers fashion items to women of all sizes, while Jacamo offers collections for men in a wide size range (from small to 5XL). The main markets are the United Kingdom, Ireland, and the United States. The company offers also credit-line facilities to its customers. N Brown Group offers products mainly through the online channel; however, the company also owns stores.

Brown (N) Group (Brown (N) Group) Headlines

From GuruFocus

Full Year 2022 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Full Year 2019 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Q2 2021 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Half Year 2023 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Half Year 2022 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Full Year 2023 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Full Year 2020 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Half Year 2020 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Half Year 2024 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024

Full Year 2021 N Brown Group PLC Earnings Call Transcript

By GuruFocus Research 03-26-2024