Worked Example: Benchmark Scenario: Graham Number & Margin of Safety
Compute the √(22.5 × EPS × BVPS) Graham Number and Margin of Safety percentage.
- Enter your financial, equity compensation, or tax parameters.
- Evaluate the governing equation: GrahamNumber = √(22.5 × EPS × BVPS); MarginOfSafety% = (IntrinsicValue − CurrentSharePrice) / IntrinsicValue × 100.
- Review the primary result, supporting metrics, and 3 interactive SVG charts.
Result: Computes Graham Number & Margin of Safety via GrahamNumber = √(22.5 × EPS × BVPS); MarginOfSafety% = (IntrinsicValue − CurrentSharePrice) / IntrinsicValue × 100.
Finance & Investing · Portfolio & Wealth Management
Benjamin Graham Number (√(22.5 × EPS × BVPS)) & Growth Formula Valuation Calculator: inputs, method, and how to read the result
Compute the √(22.5 × EPS × BVPS) Graham Number and Margin of Safety percentage.
Choose inputs for the case you are checking
The defaults are illustrative. Replace them with values for your case and keep the units shown beside each field.
- Display Currency: Amounts are treated in the selected currency; no foreign-exchange conversion is applied.
- Diluted Earnings Per Share Eps: Trailing 12-month Diluted Earnings Per Share (EPS > 0).
- Tangible Book Value Per Share Bvps: Tangible Book Value Per Share (BVPS > 0).
- Current Market Share Price: Current stock market trading price per share.
What the calculation includes
With the default values shown, Benjamin Graham Number is 64.06 USD/sh. The calculation follows Graham Number & Margin of Safety Formula; the formula and variable definitions above show how the inputs combine.
One-input check: With the other defaults held constant, changing Diluted Earnings Per Share Eps from 6.4 currency/sh to 7.04 currency/sh changes Benjamin Graham Number from 64.06 USD/sh to 67.19 USD/sh. This is a comparison inside the calculator's stated model, not a prediction.
Where to use caution
- Uses published statutory rules, standard compounding conventions, and marginal tax rates entered by the user.
- For educational and financial planning analysis; consult a CPA or qualified advisor for personalized tax filings.
Scope: Global / US / India / UK / Canada / Australia Statutory Standards Check the assumptions and limitations against your situation before relying on the estimate.
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