WallStSmart

Graham Holdings Co (GHC)vsRCM Technologies Inc (RCMT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Graham Holdings Co generates 1419% more annual revenue ($5.07B vs $333.62M). GHC leads profitability with a 10.7% profit margin vs 5.1%. RCMT appears more attractively valued with a PEG of 1.36. GHC earns a higher WallStSmart Score of 68/100 (B-).

GHC

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 6.0Value: 4.7Quality: 8.0
Piotroski: 4/9Altman Z: 3.17

RCMT

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 7.0Value: 4.7Quality: 8.5
Piotroski: 6/9Altman Z: 3.82
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GHCSignificantly Overvalued (-25.1%)

Margin of Safety

-25.1%

Fair Value

$886.88

Current Price

$1138.57

$251.69 premium

UndervaluedFair: $886.88Overvalued
RCMTSignificantly Overvalued (-47.4%)

Margin of Safety

-47.4%

Fair Value

$11.98

Current Price

$40.11

$28.13 premium

UndervaluedFair: $11.98Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GHC5 strengths · Avg: 9.8/10
P/E RatioValuation
9.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

EPS GrowthGrowth
676.0%10/10

Earnings expanding 676.0% YoY

Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

RCMT5 strengths · Avg: 9.0/10
Return on EquityProfitability
40.6%10/10

Every $100 of equity generates 41 in profit

Altman Z-ScoreHealth
3.8210/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
20.0%8/10

Revenue surging 20.0% year-over-year

EPS GrowthGrowth
36.0%8/10

Earnings expanding 36.0% YoY

Areas to Watch

GHC2 concerns · Avg: 2.5/10
Return on EquityProfitability
6.3%3/10

ROE of 6.3% — below average capital efficiency

PEG RatioValuation
4.042/10

Expensive relative to growth rate

RCMT2 concerns · Avg: 3.0/10
Market CapQuality
$295.31M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
5.1%3/10

5.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : GHC

The strongest argument for GHC centers on P/E Ratio, Price/Book, EPS Growth.

Bull Case : RCMT

The strongest argument for RCMT centers on Return on Equity, Altman Z-Score, Debt/Equity. Revenue growth of 20.0% demonstrates continued momentum. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bear Case : GHC

The primary concerns for GHC are Return on Equity, PEG Ratio.

Bear Case : RCMT

The primary concerns for RCMT are Market Cap, Profit Margin.

Key Dynamics to Monitor

GHC profiles as a value stock while RCMT is a growth play — different risk/reward profiles.

GHC carries more volatility with a beta of 0.71 — expect wider price swings.

RCMT is growing revenue faster at 20.0% — sustainability is the question.

GHC generates stronger free cash flow (33M), providing more financial flexibility.

Bottom Line

GHC scores higher overall (68/100 vs 64/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Graham Holdings Co

INDUSTRIALS · CONGLOMERATES · USA

Graham Holdings Company is a diversified global media and education company. The company is headquartered in Arlington, Virginia.

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RCM Technologies Inc

INDUSTRIALS · CONGLOMERATES · USA

RCM Technologies, Inc. offers business and technology solutions in the United States, Canada, Puerto Rico, and Serbia. The company is headquartered in Pennsauken, New Jersey.

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