# Graham Holdings Company (GHC) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Consumer Cyclical / Consumer Services. Price $1196.94, market value $5.0 billion.

## Valuation
- **P/E (trailing): 10.5×** (5-yr avg 17.6×, 3-yr avg 12.4×). Graham Holdings Company trades at 10.5× trailing earnings, well below its own five-year average of 17.6×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 17.7×, higher than trailing, so analysts expect earnings to fall.
- **Price / sales: 1.0×**. Each dollar of revenue is priced at 1.0×.
- **Price / book: 1.0×**. The shares trade at 1.0× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 16.1×**. Enterprise value is 16.1× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.5%** (5-yr avg 5.3%). Free cash flow equals 5.5% of the market value, in line with its five-year average of 5.3%. Above 5% is generally attractive.
- **Earnings yield: 9.5%**. The inverse of the P/E: 9.5% of the price is earned each year.

## Profitability
- **Operating margin: 4.8%**. 4.8% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 6.0%**. 6.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 6.1%**. 6.1% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 2.9%**. Return on all capital, debt included, is 2.9%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 3.5%**. Each dollar of assets produces 3.5% of profit.

## Growth
- **Revenue growth (1 yr): 2.5%** (3-yr 7.8%/yr, 5-yr 11.2%/yr). Revenue grew 2.5% over the last year, against 11.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -59.3%** (3-yr 68.9%/yr, 5-yr 2.7%/yr). Earnings per share fell 59.3%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 21.7%/yr**. Free cash flow has compounded at 21.7% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.18**. Debt is 0.18 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 1.8×**. It would take 1.8 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 2.0×**. Operating profit covers interest 2.0×, thin but manageable.
- **Current ratio: 1.75** (quick 1.75). Current assets cover the next year's liabilities 1.75 times.
- **Altman Z-score: 2.47**. A Z-score of 2.47 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 0.63%** ($7.44 per share, trailing). Graham Holdings Company yields 0.63%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 11%** (11% of free cash flow). 11% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 9**. 9 straight years of increases.
- **Dividend growth (5 yr): 4.4%/yr** (1-yr 4.7%). The dividend has grown 4.4% a year over five years.
- **Shareholder yield: 0.7%**. Dividends plus net buybacks return 0.7% of the market value a year.

## Price and momentum
- **Total return (1 yr): 19.4%** (YTD 10.0%, 3-mo -0.8%). The shares are up 19.4% over twelve months including dividends.
- **From 52-week high: -5.2%** (17.9% above the low). Trading 5% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 56**. An RSI of 56 is neutral.
- **Beta (1 yr): 0.41** (volatility 23%). Beta of 0.41 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=GHC · Page: https://foliofundamentals.com/stocks/ghc

Not investment advice.