Graham Holdings Stock Forum

Graham is a global leader in mission-critical fluid, power, heat transfer, and vacuum technologies for the defense, space, energy, and process industries. Having shifted its focus from refineries to defense — now its largest revenue stream — the company has seen improved efficiency since 2022, though it still hovers near breakeven.
Recent M&As have supported growth, but returns remain modest with a 9% ROIC and elevated reinvestment risk....

Despite EPS decline, Graham Holdings' share price rise may be due to revenue growth. The company might be sacrificing current EPS for growth, hinting at better days ahead. This strategy seems to be attracting new investors.

Graham Holdings' high P/E ratio is alarming due to its recent sluggish growth. If the current earnings trends persist, it could severely affect the stock price. The high P/E ratio may not be sustained by the company's earnings performance, posing a substantial risk to shareholders' investments.

GHC's long-term performance remains satisfactory, driven predominantly by EPS growth and dividend returns, not market sentiment fluctuations. Such steady fundamental improvements hint at possible long-term growth.