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Asian Life Insurance Co (XNEP:ALICL) Graham Number : NPR256.01 (As of Jan. 2024)


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What is Asian Life Insurance Co 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 Asian Life Insurance Co is NPR584.40. Asian Life Insurance Co's graham number for the quarter that ended in Jan. 2024 was NPR256.01. Therefore, Asian Life Insurance Co's Price to Graham Number ratio for today is 2.48.

The historical rank and industry rank for Asian Life Insurance Co's Graham Number or its related term are showing as below:

XNEP:ALICL' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.58   Med: 1.86   Max: 85.15
Current: 2.28

During the past 13 years, the highest Price to Graham Number ratio of Asian Life Insurance Co was 85.15. The lowest was 0.58. And the median was 1.86.

XNEP:ALICL's Price-to-Graham-Number is ranked worse than
89.36% of 404 companies
in the Insurance industry
Industry Median: 0.83 vs XNEP:ALICL: 2.28

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


Asian Life Insurance Co Graham Number Historical Data

The historical data trend for Asian Life Insurance Co'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.

Asian Life Insurance Co Graham Number Chart

Asian Life Insurance Co Annual Data
Trend Jul13 Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 391.34 452.89 620.98 531.81

Asian Life Insurance Co Quarterly Data
Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Oct23 Jan24
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 688.20 700.06 677.59 219.56 256.01

Competitive Comparison of Asian Life Insurance Co's Graham Number

For the Insurance - Life subindustry, Asian Life Insurance Co'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.


Asian Life Insurance Co's Price-to-Graham-Number Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Asian Life Insurance Co's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Asian Life Insurance Co's Price-to-Graham-Number falls into.



Asian Life Insurance Co Graham Number Calculation

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

Asian Life Insurance Co's Graham Number for the fiscal year that ended in Jul. 2022 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*1222.851*10.279)
=531.81

Asian Life Insurance Co's Graham Number for the quarter that ended in Jan. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*241.199*10.206)
=235.35

* 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.


Asian Life Insurance Co  (XNEP:ALICL) 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.

Asian Life Insurance Co's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Jan. 2024 )
=584.40/235.35
=2.48

* 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.


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.


Asian Life Insurance Co Graham Number Related Terms

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Asian Life Insurance Co (XNEP:ALICL) Business Description

Traded in Other Exchanges
N/A
Address
Ma.Na.Pa Ward No. 30, Maitidevi, Kathmandu, NPL, 44600
Asian Life Insurance Co Ltd is engaged in providing insurance products and services in Nepal. The compnay's business segments include Endowment; Endowment Cum Whole Life; Foreign Employment Term; Special Term; Anticipated Endowment; Whole Life; Other Term and others.

Asian Life Insurance Co (XNEP:ALICL) Headlines

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