Graham Number Screen Flags Eight Indian Stocks With Margin

FairStock.ai's Graham Number screen flagged eight Indian stocks on 13 October 2026, all trading below a conservative fair-value estimate built from earnings per share and book value per share. The screen is not a standalone buy signal. It is a starting point for value investors who want an arithmetic margin of safety before they weigh quality, growth, momentum, and value. [Indegene](/stock/INDGN) (NSE: INDGN) has the widest screen margin at 61.2%. That puts the market price at roughly 38.8% of the Graham Number. [LIC Housing Finance](/stock/LICHSGFIN) (NSE: LICHSGFIN) follows at 55.8%, and [Sammaan Capital](/stock/SAMMAANCAP) (NSE: SAMMAANCAP) sits at 53.2%. The screen also flags [Jammu & Kashmir Bank](/stock/J&KBANK) (NSE: J&KBANK), [REC](/stock/RECLTD) (NSE: RECLTD), [Power Finance Corporation](/stock/PFC) (NSE: PFC), [Central Bank of India](/stock/CENTRALBK) (NSE: CENTRALBK), and [GIC Re](/stock/GICRE) (NSE: GICRE). How the Graham Number screen works The Graham Number is the square root of 22.5 multiplied by earnings per share and book value per share. The 22.5 multiplier caps the implied price-to-earnings ratio at 15 and price-to-book ratio at 1.5. That makes the output deliberately stingy. A stock trading below it is not automatically cheap in a market context. It simply has an arithmetic cushion when earnings and book value are taken at face value. Indegene's 61.2% screen margin is the widest. For a company that sells digital and analytics services to pharmaceutical clients, the discount signals investor doubt about revenue visibility. The arithmetic says the stock is cheap against its own reported book and earnings. The market is saying it doesn't fully trust the near-term growth path. Lenders dominate the screen Five of the eight names are lenders or housing finance companies. That concentration matters. Indian financials have been repriced as deposit costs rise and credit growth normalizes. When a bank's book value grows slowly or its non-performing a...