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Dominant Enterprise Bhd (XKLS:7169) Graham Number : RM2.15 (As of Dec. 2023)


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What is Dominant Enterprise Bhd 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 (2024-05-21), the stock price of Dominant Enterprise Bhd is RM0.865. Dominant Enterprise Bhd's graham number for the quarter that ended in Dec. 2023 was RM2.15. Therefore, Dominant Enterprise Bhd's Price to Graham Number ratio for today is 0.40.

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

XKLS:7169' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.31   Med: 0.52   Max: 0.75
Current: 0.4

During the past 13 years, the highest Price to Graham Number ratio of Dominant Enterprise Bhd was 0.75. The lowest was 0.31. And the median was 0.52.

XKLS:7169's Price-to-Graham-Number is ranked better than
86.41% of 184 companies
in the Forest Products industry
Industry Median: 0.855 vs XKLS:7169: 0.40

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


Dominant Enterprise Bhd Graham Number Historical Data

The historical data trend for Dominant Enterprise Bhd'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.

Dominant Enterprise Bhd Graham Number Chart

Dominant Enterprise Bhd Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.41 1.80 1.96 3.08 1.78

Dominant Enterprise Bhd 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 2.17 1.78 1.79 1.92 2.15

Competitive Comparison of Dominant Enterprise Bhd's Graham Number

For the Lumber & Wood Production subindustry, Dominant Enterprise Bhd'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.


Dominant Enterprise Bhd's Price-to-Graham-Number Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Dominant Enterprise Bhd's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Dominant Enterprise Bhd's Price-to-Graham-Number falls into.



Dominant Enterprise Bhd Graham Number Calculation

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

Dominant Enterprise Bhd's Graham Number for the fiscal year that ended in Mar. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*2.134*0.066)
=1.78

Dominant Enterprise Bhd'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*2.179*0.094)
=2.15

* 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.


Dominant Enterprise Bhd  (XKLS:7169) 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.

Dominant Enterprise Bhd's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Dec. 2023 )
=0.865/2.15
=0.40

* 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.


Dominant Enterprise Bhd Graham Number Related Terms

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Dominant Enterprise Bhd (XKLS:7169) Business Description

Traded in Other Exchanges
N/A
Address
No. 2, Jalan Gemilang 1, Taman Perindustrian Maju Jaya, Johor Bahru, JHR, MYS, 81300
Dominant Enterprise Bhd is a Malaysia-based company engaged in the business of manufacturing and distribution of engineered wood moldings, investment holding, providing management services, laminated wood panels, and other wood accessories. The company is organized into two business segments: The manufacturing segment comprises of production of laminated wood panel products and primed density fiberboard moldings, wrapped moldings, and furniture components; and the Distribution segment comprises of distribution of wood products and building materials which also contributes as a main part of revenue. It operates mainly in the Malaysian market, while it also has a presence in Australia, Asia, and other countries.

Dominant Enterprise Bhd (XKLS:7169) Headlines

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