Graham Number Screen Shows Margin of Safety in Indegene

A Graham Number screen of NSE and BSE stocks is flagging names where the market price sits far below a conservative fair-value estimate. The screen compares the current price to the square root of 22.5 times earnings per share and book value per share, the formula Benjamin Graham used to identify a margin of safety. It is not a growth screen. It does not capture optionality. It measures whether a patient buyer is paying less than a balance-sheet-anchored number. The latest screen puts [Indegene](/stock/INDGN) (NSE: INDGN) at ₹555.80 against a Graham value of ₹1278.09. That is a gap of roughly 56.5%. Indegene listed in May 2024, and the stock has been under pressure since the debut. The market has been repricing the healthcare technology and services business, but the Graham number says the downside should be less than the price currently implies. LIC Housing Finance (NSE: LICHSGFIN) is even deeper into discount territory. The stock trades at ₹500.00 versus ₹1217.57 on the screen. That is a 59% gap. [LIC Housing Finance](/stock/LICHSGFIN) has a large mortgage book, but funding costs and asset quality have kept the stock at a discount. The balance sheet supports a higher value. The market is not yet willing to pay for it. Graham number screen flags PSU financiers The screen also includes REC (NSE: RECLTD) and PFC (NSE: PFC) with margins of safety near 47%. [REC](/stock/RECLTD) and [PFC](/stock/PFC) are state-owned financiers tied to power and infrastructure credit. Both have benefited from policy-driven capital expenditure and a stronger power cycle. If global rates stay higher for longer, their cost of funds could squeeze spreads. But the Graham numbers are not built on macro forecasts. They are built on trailing earnings and book value. That is the caveat. A high margin of safety in a rate-sensitive lender can persist if net interest margins stay under pressure. Other names on the screen include [Sammaan Capital](/stock/SAMMAANCAP) (NSE: SAMMAANCAP), [J&K Bank](...