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Shelly Group (XBUL:SLYG) Graham Number : лв12.29 (As of Sep. 2023)


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What is Shelly 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 (2024-04-30), the stock price of Shelly Group is лв68.00. Shelly Group's graham number for the quarter that ended in Sep. 2023 was лв12.29. Therefore, Shelly Group's Price to Graham Number ratio for today is 5.53.

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

XBUL:SLYG' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.86   Med: 1.79   Max: 5.54
Current: 5.53

During the past 6 years, the highest Price to Graham Number ratio of Shelly Group was 5.54. The lowest was 0.86. And the median was 1.79.

XBUL:SLYG's Price-to-Graham-Number is ranked worse than
93.79% of 354 companies
in the Conglomerates industry
Industry Median: 0.895 vs XBUL:SLYG: 5.53

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


Shelly Group Graham Number Historical Data

The historical data trend for Shelly 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.

Shelly Group Graham Number Chart

Shelly Group Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Graham Number
Get a 7-Day Free Trial 1.49 3.26 6.69 8.29 10.03

Shelly Group Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 9.34 9.99 10.62 11.31 12.29

Competitive Comparison of Shelly Group's Graham Number

For the Conglomerates subindustry, Shelly 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.


Shelly Group's Price-to-Graham-Number Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Shelly Group's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Shelly Group's Price-to-Graham-Number falls into.



Shelly Group Graham Number Calculation

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

Shelly Group'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*4.15*1.077)
=10.03

Shelly Group's Graham Number for the quarter that ended in Sep. 2023 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*4.762*1.41)
=12.29

* 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.


Shelly Group  (XBUL:SLYG) 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.

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

Price to Graham number=Share Price (Today)/Graham number (Q: Sep. 2023 )
=68.00/12.29
=5.53

* 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.


Shelly Group Graham Number Related Terms

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


Shelly Group (XBUL:SLYG) Business Description

Traded in Other Exchanges
Address
103 Cherni Vrah Boulevard, Floor 8, Sofia, BGR, 1407
Shelly Group Plc formerly Allterco AD is engaged in the acquisition, management, evaluation, and sale of participations in Bulgarian & foreign companies; acquisition, management, and sale of bonds; acquisition, evaluation, sale, and patents. It delivers innovation through designing, producing, and distributing high-quality IoT products. It group manages the business with electronic devices as one operating segment. Its products include Smartwatches, Tracker, and Home automation. It derives the majority of its revenue from the sale of smart devices.
Executives
Dimitar Dimitrov Chief Executive Officer (CEO)