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Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao (BSP:VLID3) Graham Number : R$21.48 (As of Dec. 2023)


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What is Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao 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 (2024-05-27), the stock price of Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao is R$16.96. Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's graham number for the quarter that ended in Dec. 2023 was R$21.48. Therefore, Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Price to Graham Number ratio for today is 0.79.

The historical rank and industry rank for Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Graham Number or its related term are showing as below:

BSP:VLID3' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.66   Med: 1.61   Max: 2.83
Current: 0.79

During the past 13 years, the highest Price to Graham Number ratio of Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao was 2.83. The lowest was 0.66. And the median was 1.61.

BSP:VLID3's Price-to-Graham-Number is ranked better than
74.04% of 678 companies
in the Business Services industry
Industry Median: 1.285 vs BSP:VLID3: 0.79

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


Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Graham Number Historical Data

The historical data trend for Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao'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.

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Graham Number Chart

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.41 - 10.67 13.96 20.36

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 15.84 20.84 20.78 23.04 21.48

Competitive Comparison of Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Graham Number

For the Specialty Business Services subindustry, Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao'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.


Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Price-to-Graham-Number Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Price-to-Graham-Number falls into.



Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Graham Number Calculation

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

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Graham Number for the fiscal year that ended in Dec. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*8.014*2.3)
=20.36

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Graham Number for the quarter that ended in Dec. 2023 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*8.014*2.558)
=21.48

* 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.


Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao  (BSP:VLID3) 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.

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Dec. 2023 )
=16.96/21.48
=0.79

* 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.


Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao Graham Number Related Terms

Thank you for viewing the detailed overview of Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao's Graham Number provided by GuruFocus.com. Please click on the following links to see related term pages.


Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao (BSP:VLID3) Business Description

Traded in Other Exchanges
N/A
Address
511 - Jardim Novo Mundo, Rua Laura Maiello Kook, Sorocaba, SP, BRA, 18052-445
Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao is engaged in the printing industry which includes security prints, lottery tickets, and systems which include electronic, plastic, and magnetic cards, card encoding, and development, implementation, and execution of electronic document management projects. The reporting segments of the company are means of payment which consists of cards for purposes like payments, identification, and customization, an identification which provides physical and electronic solutions, telecom which offers solutions like instant lottery tickets, and digital certification which offers products, services, consulting and technology for the issue, and use of global, private and Brazilian government certified digital certificates.

Valid Solucoes eServicos de Seguranca em Meios de Pagamento e Identificacao (BSP:VLID3) Headlines

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