Graham Holdings Co. (GHC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Expedia Group, Inc.

Life Time Group Holdings, Inc.

Global Business Travel Group, Inc.

Graham Holdings Co.

H&R Block, Inc.

Rollins, Inc.

UniFirst Corp.

Service Corp. International

Marriott Vacations Worldwide Corp.

Valvoline, Inc.

Planet Fitness, Inc.

Why is Graham Holdings Co. ?

Company has a low Debt to Equity ratio (avg) at times

Low Debt Company with Strong Long Term Fundamental Strength

Positive results in Jun 25

OPERATING CASH FLOW(Y) Highest at USD 489.3 MM
PRE-TAX PROFIT(Q) At USD 84.79 MM has Grown at 1,222.61%
NET PROFIT(Q) At USD 52.64 MM has Grown at 478.24%

With ROE of 13.58%, it has a attractive valuation with a 4.33 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 16.66%, its profits have risen by 162.3% ; the PEG ratio of the company is 0.2

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Graham Holdings Co. should be less than 10%
Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Graham Holdings Co. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Graham Holdings Co.

19.68%

1.96

29.11%

S&P 500

25.41%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.20%

EBIT Growth (5y)

14.02%

EBIT to Interest (avg)

2.77

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

0.93

Tax Ratio

28.84%

Dividend Payout Ratio

10.83%

Pledged Shares

Institutional Holding

82.91%

ROCE (avg)

4.75%

ROE (avg)

7.41%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

109

Industry P/E

Price to Book Value

4.25

EV to EBIT

78.52

EV to EBITDA

46.79

EV to Capital Employed

4.57

EV to Sales

4.06

PEG Ratio

Dividend Yield

0.12%

ROCE (Latest)

5.82%

ROE (Latest)

3.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

15What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 9.52

RAW MATERIAL COST(Y)

Fallen by -5.25% (YoY

CASH AND EQV(HY)

Highest at USD 2,572.19 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 12.6 times

DEBTORS TURNOVER RATIO(HY)

Highest at 9.52 times

OPERATING PROFIT MARGIN(Q)

Highest at 9.4 %

PRE-TAX PROFIT(Q)

Highest at USD 130.99 MM

NET PROFIT(Q)

Highest at USD 97.28 MM

-10What is not working for the Company

NET PROFIT(HY)

At USD 160.7 MM has Grown at -69.83%

INTEREST(Q)

At USD 16.39 MM has Grown at 1,108.92%

Here's what is working for Graham Holdings Co.

Pre-Tax Profit

At USD 130.99 MM has Grown at 1,380.96%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 97.28 MM has Grown at 1,092.75%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Dividend per share

Highest at USD 9.52 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Operating Profit Margin

Highest at 9.4 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 130.99 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 97.28 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Cash and Eqv

Highest at USD 2,572.19 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 12.6 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 9.52 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -5.25% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Graham Holdings Co.

Interest

At USD 16.39 MM has Grown at 1,108.92%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Non Operating Income

Highest at USD 1.73 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income