GURUFOCUS.COM » STOCK LIST » Energy » Other Energy Sources » Sprott Physical Uranium Trust (TSX:U.UN) » Definitions » Graham Number

Sprott Physical Uranium Trust (TSX:U.UN) Graham Number : C$8.34 (As of Dec. 2022)


View and export this data going back to 2005. Start your Free Trial

What is Sprott Physical Uranium Trust 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 (2024-05-06), the stock price of Sprott Physical Uranium Trust is C$31.20. Sprott Physical Uranium Trust's graham number for the quarter that ended in Dec. 2022 was C$8.34. Therefore, Sprott Physical Uranium Trust's Price to Graham Number ratio for today is 3.74.

The historical rank and industry rank for Sprott Physical Uranium Trust's Graham Number or its related term are showing as below:

TSX:U.UN' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.46   Med: 1.4   Max: 2.08
Current: 0.51

During the past 13 years, the highest Price to Graham Number ratio of Sprott Physical Uranium Trust was 2.08. The lowest was 0.46. And the median was 1.40.

TSX:U.UN's Price-to-Graham-Number is ranked better than
74.75% of 99 companies
in the Other Energy Sources industry
Industry Median: 0.84 vs TSX:U.UN: 0.51

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


Sprott Physical Uranium Trust Graham Number Historical Data

The historical data trend for Sprott Physical Uranium Trust'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.

Sprott Physical Uranium Trust Graham Number Chart

Sprott Physical Uranium Trust Annual Data
Trend Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Dec22 Dec23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.56 - 4.77 7.98 61.66

Sprott Physical Uranium Trust Semi-Annual Data
Feb13 Aug13 Feb14 Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Jun22 Dec22 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 9.62 5.13 7.00 8.34 -

Competitive Comparison of Sprott Physical Uranium Trust's Graham Number

For the Uranium subindustry, Sprott Physical Uranium Trust'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.


Sprott Physical Uranium Trust's Price-to-Graham-Number Distribution in the Other Energy Sources Industry

For the Other Energy Sources industry and Energy sector, Sprott Physical Uranium Trust's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Sprott Physical Uranium Trust's Price-to-Graham-Number falls into.



Sprott Physical Uranium Trust Graham Number Calculation

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

Sprott Physical Uranium Trust'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*30.28*5.581)
=61.66

Sprott Physical Uranium Trust's Graham Number for the quarter that ended in Dec. 2022 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*16.458*0.188)
=8.34

* 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.


Sprott Physical Uranium Trust  (TSX:U.UN) 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.

Sprott Physical Uranium Trust's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Dec. 2022 )
=31.20/8.34
=3.74

* 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.


Sprott Physical Uranium Trust Graham Number Related Terms

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


Sprott Physical Uranium Trust (TSX:U.UN) Business Description

Traded in Other Exchanges
Address
200 Bay Street, Royal Bank Plaza, South Tower, Suite 2600, Toronto, ON, CAN, M5J 2J1
Sprott Physical Uranium Trust is an investment company managed by Denison Mines Inc. Its primary interest lies in investing in Uranium based assets, including uranium oxide and uranium hexafluoride. The company stores its uranium deposits at uranium conversion facilities.

Sprott Physical Uranium Trust (TSX:U.UN) Headlines

No Headlines