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Graham Holdings

NYSE:GHC
Snowflake Description

Excellent balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
GHC
NYSE
$4B
Market Cap
  1. Home
  2. US
  3. Consumer Services
Company description

Graham Holdings Company, through its subsidiaries, operates as a diversified education and media company worldwide. The last earnings update was 22 days ago. More info.


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GHC Share Price and Events
7 Day Returns
-1.8%
NYSE:GHC
-0.3%
US Consumer Services
0.2%
US Market
1 Year Returns
14.6%
NYSE:GHC
-5.4%
US Consumer Services
2.9%
US Market
GHC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Graham Holdings (GHC) -1.8% -3.9% 0.6% 14.6% 37.1% 0.8%
US Consumer Services -0.3% 0.7% 6.8% -5.4% 104.9% 128.5%
US Market 0.2% -1.6% 2.4% 2.9% 36.1% 41%
1 Year Return vs Industry and Market
  • GHC outperformed the Consumer Services industry which returned -5.4% over the past year.
  • GHC outperformed the Market in United States of America which returned 2.9% over the past year.
Price Volatility
GHC
Industry
5yr Volatility vs Market

GHC Value

 Is Graham Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Graham Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Graham Holdings.

NYSE:GHC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 9.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:GHC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Consumer Services Unlevered Beta Simply Wall St/ S&P Global 0.96
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.956 (1 + (1- 21%) (26.5%))
1.104
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.1
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.104 * 5.96%)
9.31%

Discounted Cash Flow Calculation for NYSE:GHC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Graham Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:GHC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.31%)
2019 124.37 Est @ -14.75% 113.78
2020 112.55 Est @ -9.5% 94.19
2021 105.99 Est @ -5.83% 81.14
2022 102.53 Est @ -3.26% 71.81
2023 101.02 Est @ -1.47% 64.73
2024 100.81 Est @ -0.21% 59.09
2025 101.49 Est @ 0.67% 54.42
2026 102.80 Est @ 1.29% 50.43
2027 104.57 Est @ 1.72% 46.93
2028 106.69 Est @ 2.02% 43.80
Present value of next 10 years cash flows $680.31
NYSE:GHC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $106.69 × (1 + 2.73%) ÷ (9.31% – 2.73%)
$1,665.31
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,665.31 ÷ (1 + 9.31%)10
$683.65
NYSE:GHC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $680.31 + $683.65
$1,363.96
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,363.96 / 5.31
$256.63
NYSE:GHC Discount to Share Price
Calculation Result
Value per share (USD) From above. $256.63
Current discount Discount to share price of $685.38
= -1 x ($685.38 - $256.63) / $256.63
-167.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Graham Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Graham Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Graham Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:GHC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $58.21
NYSE:GHC Share Price ** NYSE (2019-05-22) in USD $685.38
United States of America Consumer Services Industry PE Ratio Median Figure of 23 Publicly-Listed Consumer Services Companies 24.02x
United States of America Market PE Ratio Median Figure of 3,085 Publicly-Listed Companies 17.79x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Graham Holdings.

NYSE:GHC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:GHC Share Price ÷ EPS (both in USD)

= 685.38 ÷ 58.21

11.77x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Graham Holdings is good value based on earnings compared to the US Consumer Services industry average.
  • Graham Holdings is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Graham Holdings's expected growth come at a high price?
Raw Data
NYSE:GHC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 11.77x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
13.7%per year
United States of America Consumer Services Industry PEG Ratio Median Figure of 15 Publicly-Listed Consumer Services Companies 1.33x
United States of America Market PEG Ratio Median Figure of 2,123 Publicly-Listed Companies 1.54x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Graham Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Graham Holdings's assets?
Raw Data
NYSE:GHC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $563.24
NYSE:GHC Share Price * NYSE (2019-05-22) in USD $685.38
United States of America Consumer Services Industry PB Ratio Median Figure of 49 Publicly-Listed Consumer Services Companies 2.13x
United States of America Market PB Ratio Median Figure of 5,201 Publicly-Listed Companies 1.84x
NYSE:GHC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:GHC Share Price ÷ Book Value per Share (both in USD)

= 685.38 ÷ 563.24

1.22x

* Primary Listing of Graham Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Graham Holdings is good value based on assets compared to the US Consumer Services industry average.
X
Value checks
We assess Graham Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Services industry average (and greater than 0)? (1 check)
  5. Graham Holdings has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

GHC Future Performance

 How is Graham Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Graham Holdings, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Graham Holdings expected to grow at an attractive rate?
  • Graham Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Graham Holdings's earnings growth is expected to exceed the United States of America market average.
  • Unable to compare Graham Holdings's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NYSE:GHC Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:GHC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 13.7%
United States of America Consumer Services Industry Earnings Growth Rate Market Cap Weighted Average 32%
United States of America Consumer Services Industry Revenue Growth Rate Market Cap Weighted Average 13.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.7%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:GHC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:GHC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
NYSE:GHC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 2,729 230 308
2018-12-31 2,696 287 270
2018-09-30 2,683 239 425
2018-06-30 2,665 207 326
2018-03-31 2,669 195 321
2017-12-31 2,592 268 299
2017-09-30 2,546 331 124
2017-06-30 2,510 246 132
2017-03-31 2,463 292 150
2016-12-31 2,482 261 167
2016-09-30 2,469 106 181
2016-06-30 2,488 140 -83

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Graham Holdings's earnings are expected to grow by 13.7% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Graham Holdings is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:GHC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Graham Holdings Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GHC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
NYSE:GHC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 58.21
2018-12-31 50.54
2018-09-30 78.99
2018-06-30 59.88
2018-03-31 58.44
2017-12-31 54.24
2017-09-30 22.36
2017-06-30 23.80
2017-03-31 27.12
2016-12-31 29.96
2016-09-30 32.24
2016-06-30 -14.66

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Graham Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Graham Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Graham Holdings has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

GHC Past Performance

  How has Graham Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Graham Holdings's growth in the last year to its industry (Consumer Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Graham Holdings's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Graham Holdings's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Graham Holdings's 1-year earnings growth is negative, it can't be compared to the US Consumer Services industry average.
Earnings and Revenue History
Graham Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Graham Holdings Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GHC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 2,728.73 308.23 454.38
2018-12-31 2,695.97 269.54 529.59
2018-09-30 2,682.70 425.27 733.18
2018-06-30 2,665.16 325.58 834.75
2018-03-31 2,668.57 320.92 812.26
2017-12-31 2,591.85 299.21 815.09
2017-09-30 2,545.61 123.61 802.44
2017-06-30 2,510.02 131.77 829.71
2017-03-31 2,462.87 150.14 875.79
2016-12-31 2,481.89 166.52 815.43
2016-09-30 2,468.68 181.00 930.33
2016-06-30 2,488.47 -83.00 978.20
2016-03-31 2,540.43 -103.90 1,018.17
2015-12-31 2,586.11 -144.50 1,085.36
2015-09-30 2,697.37 104.39 1,134.16
2015-06-30 2,759.15 345.51 1,158.18
2015-03-31 2,547.92 618.28 1,109.29
2014-12-31 2,737.03 749.79 1,132.16
2014-09-30 2,876.65 500.48 1,194.19
2014-06-30 3,029.55 543.38 1,211.67
2014-03-31 3,423.86 276.39 1,302.55
2013-12-31 2,600.60 62.41 1,123.97
2013-09-30 3,436.56 66.82 1,315.95
2013-06-30 3,458.10 69.22 1,303.25
2013-03-31 3,320.66 76.00 1,259.63
2012-12-31 3,372.59 47.07 1,317.49
2012-09-30 3,600.10 180.53 1,394.77
2012-06-30 3,734.96 137.78 1,468.15

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Graham Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Graham Holdings used its assets more efficiently than the US Consumer Services industry average last year based on Return on Assets.
  • Graham Holdings has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Graham Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Graham Holdings has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

GHC Health

 How is Graham Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Graham Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Graham Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Graham Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Graham Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Graham Holdings Company Filings, last reported 1 month ago.

NYSE:GHC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 3,003.40 965.46 698.82
2018-12-31 2,921.13 477.44 767.84
2018-09-30 2,980.06 479.63 783.09
2018-06-30 2,882.14 485.33 762.70
2018-03-31 2,899.92 497.73 807.24
2017-12-31 2,930.08 499.53 947.17
2017-09-30 2,577.04 493.55 914.60
2017-06-30 2,552.67 496.72 902.14
2017-03-31 2,493.21 493.83 1,089.35
2016-12-31 2,465.58 507.71 1,097.13
2016-09-30 2,518.70 497.41 1,001.85
2016-06-30 2,482.38 400.03 967.92
2016-03-31 2,466.53 399.91 914.76
2015-12-31 2,516.66 400.90 1,133.65
2015-09-30 2,596.35 402.82 1,321.07
2015-06-30 3,212.50 954.76 1,420.18
2015-03-31 3,154.57 404.82 834.35
2014-12-31 3,173.19 446.10 999.50
2014-09-30 2,933.92 449.16 648.62
2014-06-30 2,847.66 452.58 573.98
2014-03-31 3,428.71 453.42 1,288.43
2013-12-31 3,316.85 451.82 1,092.04
2013-09-30 2,748.66 452.40 938.47
2013-06-30 2,701.79 451.36 881.79
2013-03-31 2,639.30 458.43 770.68
2012-12-31 2,609.97 698.28 931.37
2012-09-30 2,660.64 457.66 729.93
2012-06-30 2,602.79 457.10 688.06
  • Graham Holdings's level of debt (32.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (13.2% vs 32.1% today).
  • Debt is well covered by operating cash flow (23.8%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 11.7x coverage).
X
Financial health checks
We assess Graham Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Graham Holdings has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

GHC Dividends

 What is Graham Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.81%
Current annual income from Graham Holdings dividends.
If you bought $2,000 of Graham Holdings shares you are expected to receive $16 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Graham Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
  • Graham Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.7%).
Upcoming dividend payment

Purchase Graham Holdings before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:GHC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Consumer Services Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 1.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2005 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:GHC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
NYSE:GHC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-02 5.560 0.797
2019-02-21 5.560 0.805
2019-01-24 5.560 0.835
2018-09-13 5.320 0.862
2018-02-20 5.320 0.908
2018-01-18 5.320 0.903
2017-09-14 5.080 0.896
2017-02-16 5.080 0.865
2017-01-12 5.080 0.968
2016-09-08 4.840 0.983
2016-05-12 4.840 0.970
2016-02-18 4.840 1.003
2016-01-21 4.840 1.013
2015-09-10 4.600 0.862
2015-05-14 10.600 1.337
2015-02-19 10.600 1.028
2015-01-22 10.600 1.112
2014-09-11 10.200 1.275
2014-06-05 10.200 1.438
2014-02-20 10.200 1.476
2014-01-23 10.200 1.583
2012-12-07 9.800 1.978
2012-09-13 9.800 2.777
2012-06-07 9.800 2.753
2012-02-23 9.800 2.649
2012-01-19 9.800 2.519
2011-09-08 9.400 2.703
2011-06-09 9.400 2.440
2011-02-22 9.400 2.197
2011-01-20 9.400 2.152
2010-09-23 9.000 2.239
2010-06-10 9.000 2.264
2010-02-23 9.000 1.903
2010-01-21 9.000 2.110
2009-09-10 8.600 1.941
2009-06-25 8.600 2.087

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Graham Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • Graham Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Graham Holdings's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Graham Holdings's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Graham Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Graham Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Graham Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

GHC Management

 What is the CEO of Graham Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tim O’Shaughnessy
COMPENSATION $2,983,209
AGE 37
TENURE AS CEO 3.5 years
CEO Bio

Mr. Timothy J. O’Shaughnessy, also known as Tim, has been the President, Chief Executive Officer f Graham Holdings Company since November 3, 2014 and serves as itsoversees investments and acquisitions and to help set a new direction for Graham Holdings following the sale of The Washington Post. Mr. O’Shaughnessy served as the Chief Executive Officer of Graham Holdings Company since November 12, 2015. Mr. O'Shaughnessy served as the Chief Executive Officer of LivingSocial Limited. Mr. O’Shaughnessy Co-founded Hungry Machine, Inc. (AKA LivingSocial, Inc.) in 2008 and served as its Chief Executive Officer until August 15, 2014. He joined AOL as a Product Manager. Since 2006, he served as Vice President of Product Development. Mr. O'Shaughnessy was part of the original visionary team behind the product, which integrates users' interest profiles seamlessly with Facebook, MySpace, Bebo, hi5 and Orkut. He led the consumer products team at Revolution Health and previously, he managed product launches at AOL. He has been a Director of Graham Holdings Company since November 12, 2014. Mr. O'Shaughnessy has a BSBA degree in Marketing, Operations and Information Management from Georgetown University in 2004.

CEO Compensation
  • Tim's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.
  • Tim's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Graham Holdings management team in years:

3.6
Average Tenure
48
Average Age
  • The tenure for the Graham Holdings management team is about average.
Management Team

Tim O’Shaughnessy

TITLE
President
COMPENSATION
$3M
AGE
37
TENURE
3.5 yrs

Wally Cooney

TITLE
Senior VP of Finance & CFO
COMPENSATION
$2M
AGE
55
TENURE
2.3 yrs

Nicole Maddrey

TITLE
Senior VP
COMPENSATION
$2M
AGE
53
TENURE
4.1 yrs

Andy Rosen

TITLE
Executive Vice President
COMPENSATION
$4M
AGE
57
TENURE
5.1 yrs

Jake Maas

TITLE
Senior VP of Planning & Development
COMPENSATION
$1M
AGE
41
TENURE
3.6 yrs

Marcel Snyman

TITLE
VP & Chief Accounting Officer
AGE
43
TENURE
1.3 yrs

Scot Gillespie

TITLE
CTO & VP
TENURE
2.3 yrs

Shailesh Prakash

TITLE
Chief Information Officer & Executive VP

Pinkie Mayfield

TITLE
VP of Corporate Affairs & Special Assistant to the Chairman
TENURE
4.3 yrs

Kristine Coratti

TITLE
Vice President of Communications
TENURE
4.5 yrs
Board of Directors Tenure

Average tenure and age of the Graham Holdings board of directors in years:

8.8
Average Tenure
61
Average Age
  • The tenure for the Graham Holdings board of directors is about average.
Board of Directors

Don Graham

TITLE
Chairman of the Board
COMPENSATION
$362K
AGE
73
TENURE
25.7 yrs

Tim O’Shaughnessy

TITLE
President
COMPENSATION
$3M
AGE
37
TENURE
4.5 yrs

Chris Davis

TITLE
Lead Director
COMPENSATION
$190K
AGE
53
TENURE
8 yrs

Tom Gayner

TITLE
Director
COMPENSATION
$190K
AGE
57
TENURE
12.3 yrs

Anne Mulcahy

TITLE
Director
COMPENSATION
$170K
AGE
66
TENURE
11.3 yrs

Katharine Weymouth

TITLE
Director
COMPENSATION
$150K
AGE
51
TENURE
8.7 yrs

Lee Bollinger

TITLE
Director
COMPENSATION
$150K
AGE
71
TENURE
12 yrs

Rick Wagoner

TITLE
Director
COMPENSATION
$178K
AGE
65
TENURE
8.9 yrs

Larry Thompson

TITLE
Director
COMPENSATION
$150K
AGE
73
TENURE
7.9 yrs

Jack Markell

TITLE
Director
COMPENSATION
$150K
AGE
57
TENURE
2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
11. Oct 18 Sell Katharine Weymouth Individual 09. Oct 18 09. Oct 18 -1,100 $579.95 $-637,945
25. Sep 18 Sell Katharine Weymouth Individual 21. Sep 18 21. Sep 18 -700 $590.28 $-413,196
07. Aug 18 Buy Timothy O’Shaughnessy Individual 02. Aug 18 03. Aug 18 4,650 $561.55 $2,562,024
06. Aug 18 Buy Donald Graham Individual 02. Aug 18 03. Aug 18 1,800 $561.55 $990,372
09. Jul 18 Sell Katharine Weymouth Individual 05. Jul 18 05. Jul 18 -1,101 $596.25 $-655,220
X
Management checks
We assess Graham Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Graham Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

GHC News

Simply Wall St News

How Good Is Graham Holdings Company (NYSE:GHC), When It Comes To ROE?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every $1 worth of equity in the company, it was able to earn $0.10. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Graham Holdings Company's (NYSE:GHC) P/E Ratio Signal A Buying Opportunity?

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … To keep it practical, we'll show how Graham Holdings Company's (NYSE:GHC) P/E ratio could help you assess the value on offer. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Was Graham Holdings Company's (NYSE:GHC) Earnings Decline Part Of A Broader Industry Downturn?

Measuring Graham Holdings Company's (NYSE:GHC) track record of past performance is a useful exercise for investors. … Today I will assess GHC's recent performance announced on 31 December 2018 and weigh these figures against its long-term trend and industry movements. … Furthermore, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of -8.4%, indicating the rate at which GHC is growing has slowed down

Simply Wall St -

Is Graham Holdings Company (NYSE:GHC) As Strong As Its Balance Sheet Indicates?

Mid-caps stocks, like Graham Holdings Company (NYSE:GHC) with a market capitalization of US$3.5b, aren’t the focus of most investors who prefer to direct their investments towards either large-cap or small-cap stocks. … Let’s take a look at GHC’s debt concentration and assess their financial liquidity to get an idea of their ability to fund strategic acquisitions and grow through cyclical pressures. … Note that this commentary is very high-level and solely focused on financial health, so I suggest you dig deeper yourself.

Simply Wall St -

Should You Care About Graham Holdings Company’s (NYSE:GHC) Investment Potential?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

If You Had Bought Graham Holdings Stock Three Years Ago, You Could Pocket A 40% Gain Today

For example, the Graham Holdings Company (NYSE:GHC) share price return of 40% over three years lags the market return in the same period. … One flawed but reasonable way to assess how sentiment around a company has changed, is to compare the earnings per share (EPS) with the share price. … During the three years of share price growth, Graham Holdings actually saw its earnings per share (EPS) drop 12% per year.

Simply Wall St -

With A Return On Equity Of 14%, Has Graham Holdings Company's (NYSE:GHC) Management Done Well?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of Graham Holdings Company (NYSE:GHC). … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.14 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Graham Holdings Company's (NYSE:GHC) P/E Ratio Signal A Buying Opportunity?

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … To keep it practical, we'll show how Graham Holdings Company's (NYSE:GHC) P/E ratio could help you assess the value on offer. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Is Graham Holdings Company (NYSE:GHC) A Financially Strong Company?

Small and large cap stocks are widely popular for a variety of reasons, however, mid-cap companies such as Graham Holdings Company (NYSE:GHC), with a market cap of US$3.5b, often get neglected by retail investors. … Don’t forget that this is a general and concentrated examination of Graham Holdings's financial health, so you should conduct further analysis. … Check out our latest analysis for Graham Holdings

Simply Wall St -

Graham Holdings Company (NYSE:GHC): Assessing Capital Returns

and want to begin learning the link between Graham Holdings Company (NYSE:GHC)’s return fundamentals and stock market performance. … This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … To understand Graham Holdings’s capital returns we will look at a useful metric called return on capital employed.

Simply Wall St -

GHC Company Info

Description

Graham Holdings Company, through its subsidiaries, operates as a diversified education and media company worldwide. It provides test preparation services and materials, as well as data science education, and training and healthcare simulation services; professional training and exam preparation for professional certifications and licensures; and non-academic operations support services to Purdue University Global. The company also offers training, test preparation, and degrees for accounting and financial services professionals; professional training courses; English-language training, academic preparation programs, and test preparation for English proficiency exams; and A-level examination preparation services, as well as operates three colleges, one business school, one higher education institution, and one online learning institution. In addition, it owns and operates seven television stations; and provides social-media management tools designed to connect newsrooms with their users, as well as produces Foreign Policy magazine and ForeignPolicy.com Website. Further, the company publishes Slate, an online magazine and Website; and two French-language news magazine Websites at slate.fr and slateafrique.com. Additionally, it provides marketing solutions on social, mobile, and video platforms; home health and hospice services; burners, igniters, dampers, and controls; screw jacks, linear actuators and related linear motion products, and lifting systems; and pressure impregnated kiln-dried lumber and plywood products, as well as develops cybersecurity training and workforce development education programs. The company also offers power charging and data systems; industrial and commercial indoor lighting solutions; and electrical components and assemblies. The company was formerly known as The Washington Post Company and changed its name to Graham Holdings Company in November 2013. Graham Holdings Company was founded in 1877 and is based in Arlington, Virginia.

Details
Name: Graham Holdings Company
GHC
Exchange: NYSE
Founded: 1877
$3,642,746,723
5,314,930
Website: http://www.ghco.com
Address: Graham Holdings Company
1300 North 17th Street,
17th Floor,
Arlington,
Virginia, 22209,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE GHC Class B Common Shares New York Stock Exchange US USD 26. Oct 1971
DB WPOB Class B Common Shares Deutsche Boerse AG DE EUR 26. Oct 1971
Number of employees
Current staff
Staff numbers
14,297
Graham Holdings employees.
Industry
Education Services
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 04:25
End of day share price update: 2019/05/22 00:00
Last estimates confirmation: 2018/02/23
Last earnings filing: 2019/05/01
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.