Stock Calculator

About the Stock Calculator

A single stock analysis requires checking multiple valuation ratios, understanding your position's profit/loss, and evaluating price targets - all context that's scattered across different tools. This calculator consolidates everything into one view so you can see the valuation, the income stream, and the position risk together instead of piecing them together from separate screens.

Enter a stock's current price, EPS, dividends, and book value to compute P/E, P/S, P/B ratios, earnings yield, payout ratio, and the Graham Number (Ben Graham's intrinsic value formula). Add your shares owned and cost basis to see unrealized gains, annual dividend income, and target price upside. That means the page works both as a valuation tool and as a position tracker for an existing holding.

The valuation summary benchmarks every ratio against S&P 500 averages, color-coded to show whether the stock trades at a premium or discount. The price scenario table maps out your position value across +/-50% price moves, helping you translate abstract multiples into actual dollars at risk before you buy, trim, or hold. It is most useful when you want a quick check of whether the stock looks cheap, expensive, or simply different from the benchmark set you are comparing it against.

When This Page Helps

Instead of checking valuation ratios in one place and position performance in another, this calculator keeps the key stock metrics in a single workflow. You can compare valuation, dividend income, cost basis, and target-price scenarios together, which makes it easier to discuss the trade, size the position, and avoid mixing inconsistent numbers from multiple sources. It is especially helpful when you need to decide whether a stock is attractive on fundamentals and whether your current position is already carrying too much risk.

How to Use the Inputs

1. Enter the current share price and earnings per share (EPS).
2. Add dividends per share and book value per share for full ratio analysis.
3. Enter shares owned and your average cost basis for position tracking.
4. Set a target price to calculate upside potential.
5. Review valuation ratios against S&P 500 benchmarks.
6. Scan price scenarios to understand your risk/reward profile.

Example Calculation

Tips & Best Practices

• Compare multiple valuation metrics together — no single ratio tells the full story.
• The Graham Number assumes modest growth; fast-growing companies will often exceed it.
• Track cost basis carefully for tax purposes — it determines your capital gains liability.
• High earnings yield + high dividend payout = most of earnings are returned to shareholders.
• Use price scenarios to pre-commit to exit points: at what loss do you sell? At what gain do you take profits?

Use More Than One Ratio

A low P/E can mean the market is undervaluing the business, but it can also signal declining earnings, weak balance-sheet quality, or a cyclical peak. Pair earnings multiples with book value, dividend yield, and your own thesis about growth and risk. The point of the calculator is to keep those views in one screen so a single ratio does not drive the whole decision.

Separate Company Analysis From Position Size

A good business can still be a poor position if it is too large in your portfolio or if your cost basis has created more downside than you realize. Use the scenario analysis to see how a 10%, 20%, or 30% move changes your dollar gain or loss. That makes risk management more concrete than talking about percentages alone.

Keep Inputs From The Same Reporting Frame

EPS, dividends per share, revenue per share, and book value per share should come from the same reporting period whenever possible. Mixing trailing numbers with stale balance-sheet figures or forward-looking estimates can distort the multiples. If you switch from trailing to forward assumptions, update the whole set so the output stays internally consistent.

Frequently Asked Questions

• What is the Graham Number?

  Benjamin Graham's conservative intrinsic value estimate: √(22.5 × EPS × Book Value). If the stock trades below this number, it may be undervalued by Graham's standards, though the formula is intentionally conservative.

• Is a high P/E always bad?

  No - high-growth companies often deserve a higher P/E. The key is whether the growth rate justifies the multiple, so the PEG ratio (P/E ÷ growth rate) is a useful follow-up check.

• What is earnings yield?

  The inverse of P/E: EPS / Price. It represents the return you would earn if all earnings were paid out, which makes it useful for comparing stocks to bond yields or other cash-yielding assets.

• How do I calculate cost basis with multiple purchases?

  Divide total dollars invested by total shares. If you bought 50 shares at $140 and 50 at $150, cost basis = ($7,000 + $7,500) / 100 = $145, and that blended cost basis is what the calculator should use.

• What dividend yield is considered good?

  S&P 500 average is about 1.5%. Above 3% is high yield, while above 6% may signal dividend-cut risk because the yield is high mainly due to a falling price.

• Should I use trailing or forward EPS?

  Trailing (TTM) EPS is factual. Forward EPS is an analyst estimate, so use trailing for historical valuation and forward for expected valuation, but keep the whole input set on the same basis.