Graham Number Calculator
Calculate the Benjamin Graham fair value ceiling, P/E * P/B product multiple, and defensive margin of safety.
What is the Graham Number Calculator?
Graham Number Calculator is designed to calculate the Benjamin Graham fair value ceiling, P/E * P/B product multiple, and defensive margin of safety.
The Graham Number is a classic value investing formula developed by Benjamin Graham (the father of value investing and Warren Buffett's mentor) that defines the upper price limit a defensive investor should pay for a stock based on earnings and tangible book value.
Financial Calculation Inputs
- Supported Inputs: Principal balances, interest rates, compounding schedules, and tenures.
- Precision Model: High-precision IEEE-754 floating-point arithmetic with decimal rounding.
- Data Privacy: Zero cloud logs. Figures are calculated locally in your browser memory.
Output & Schedule Breakdown
- Visual Analytics: Month-by-month schedules, dynamic charts, and cash flow summaries.
- Currency Support: Multi-currency symbol formatting (USD, EUR, GBP, INR, JPY, CAD, AUD).
- Access Guarantee: 100% unlocked with zero limits, subscriptions, or forced account creation.
How to Use the Graham Number Calculator
Follow these 3 simple steps for instant, accurate calculations.
1. Input Diluted Earnings Per Share (EPS)
Enter the trailing twelve months (TTM) normalized Earnings Per Share (e.g. $4.50).
2. Input Book Value Per Share (BVPS)
Enter the common equity Book Value Per Share from the latest corporate balance sheet (e.g. $32.00).
3. Evaluate Graham Number & Buy Ceiling
Review calculated Graham Number ceiling price, compare against current stock price, and assess undervaluation discount.
Financial Privacy & Architecture Comparison
Why client-side financial calculations protect your privacy better than cloud services.
| Evaluation Criteria | ToolboxDock (Client-Side) | Traditional Online Calculators |
|---|---|---|
| Financial Data Privacy | 100% In-Memory Client Execution (Zero Server Transit) | Logged on remote servers and ad networks |
| Calculation Latency | Instant real-time update on keystroke | Full page reloads or API round-trips |
| Offline Usability | Works offline once cached in browser | Fails without active server connection |
| Cost & Paywalls | 100% free with unlimited calculations | Usage caps or financial product paywalls |
Benjamin Graham Number Formula
Calculates the upper boundary price for a defensive stock where Price-to-Earnings <= 15 and Price-to-Book <= 1.5.
Core Graham Number Calculator Inputs & Terminology
The theoretical maximum fair value purchase price for a conservative value stock, calculated as sqrt(22.5 × EPS × BVPS).
Total common shareholders' equity divided by total shares outstanding, representing net accounting asset value.
The product of Graham's maximum conservative P/E threshold (15.0) and maximum P/B threshold (1.5): 15.0 × 1.5 = 22.5.
Graham's term for a conservative investor seeking long-term capital preservation with minimum risk.
Frequently Asked Questions
Common questions about using our free Graham Number Calculator.