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Aldawaa Medical Services Co (SAU:4163) Graham Number : ﷼37.57 (As of Mar. 2024)


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What is Aldawaa Medical Services 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 (2024-05-20), the stock price of Aldawaa Medical Services Co is ﷼90.80. Aldawaa Medical Services Co's graham number for the quarter that ended in Mar. 2024 was ﷼37.57. Therefore, Aldawaa Medical Services Co's Price to Graham Number ratio for today is 2.42.

The historical rank and industry rank for Aldawaa Medical Services Co's Graham Number or its related term are showing as below:

SAU:4163' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 2.42   Med: 2.76   Max: 3.14
Current: 2.42

During the past 3 years, the highest Price to Graham Number ratio of Aldawaa Medical Services Co was 3.14. The lowest was 2.42. And the median was 2.76.

SAU:4163's Price-to-Graham-Number is ranked worse than
57.85% of 325 companies
in the Healthcare Providers & Services industry
Industry Median: 2.12 vs SAU:4163: 2.42

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


Aldawaa Medical Services Co Graham Number Historical Data

The historical data trend for Aldawaa Medical Services 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.

Aldawaa Medical Services Co Graham Number Chart

Aldawaa Medical Services Co Annual Data
Trend Dec21 Dec22 Dec23
Graham Number
22.94 28.91 36.75

Aldawaa Medical Services Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Graham Number Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.15 33.89 34.43 36.75 37.57

Competitive Comparison of Aldawaa Medical Services Co's Graham Number

For the Pharmaceutical Retailers subindustry, Aldawaa Medical Services 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.


Aldawaa Medical Services Co's Price-to-Graham-Number Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Aldawaa Medical Services Co's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Aldawaa Medical Services Co's Price-to-Graham-Number falls into.



Aldawaa Medical Services Co Graham Number Calculation

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

Aldawaa Medical Services Co'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*15.2*3.948)
=36.75

Aldawaa Medical Services Co's Graham Number for the quarter that ended in Mar. 2024 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*15.049*4.169)
=37.57

* 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.


Aldawaa Medical Services Co  (SAU:4163) 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.

Aldawaa Medical Services Co's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Mar. 2024 )
=90.80/37.57
=2.42

* 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.


Aldawaa Medical Services Co Graham Number Related Terms

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Aldawaa Medical Services Co (SAU:4163) Business Description

Traded in Other Exchanges
N/A
Address
Prince Naif Street. Cross 23, P.O. Box 4326, Al Khobar, SAU, 31952
Aldawaa Medical Services Co is engaged in the sale of pharmaceuticals and related products. It is focused on selling Taped Diapers, Pants Diapers, Baby Food, Body Cream, Diabetic Monitoring, Insulin Pen Needle, Blood Pressure Monitor, Nebulizers, Thermometers, Cough Medicines, and Nasal Decongestant Medicines, among other products. The company's segment includes Retail and Wholesale. It generates maximum revenue from the Retail segment.

Aldawaa Medical Services Co (SAU:4163) Headlines

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