GHM

Industrials

Graham Corporation · Industrial - Machinery · $1B

UQS Score — Balanced Preset
44.0
Below Average

Graham Corporation scores 44.0/100 using the Balanced preset.

UQS vs Industrials Sector
GHM
44.0
Sector avg
42.4
Quality
Weak
Moat
Weak
Growth
Good
Risk
Neutral
Valuation
Neutral

What is Graham Corporation?

Graham Corporation is a small-cap industrial manufacturer specializing in highly engineered fluid, heat transfer, vacuum, and power equipment. Founded in 1936 and headquartered in Batavia, New York, the company serves defense, space, and energy markets globally.

Graham Corporation designs and manufactures specialized equipment for demanding industrial and defense applications. Revenue comes from direct equipment sales, aftermarket services, and spare parts. Its products support defense programs — including torpedo systems and rocket propulsion — alongside commercial applications in chemical processing, petroleum refining, and cryogenic energy. The company sells directly across the United States and internationally, including the Middle East, Asia, Canada, and South America.

Graham Corporation was founded in 1936 and operates from its headquarters in Batavia, New York.

  • Vacuum and heat transfer systems for industrial processing
  • Torpedo ejection and power systems for defense
  • Rocket propulsion turbopumps and fuel pumps
  • Thermal management and life support equipment
  • Power generation turbines, compressors, and generators

Is GHM a Good Stock to Buy?

UQS Score rates GHM as Below Average overall, reflecting meaningful challenges across several key quality dimensions.

The Risk pillar stands out as the relative bright spot in GHM's profile, suggesting the company carries a manageable financial risk profile compared to many small-cap peers. Growth is rated Neutral, indicating the business is not in decline but has not yet demonstrated a clear upward trajectory.

Both the Quality and Moat pillars are rated Weak, pointing to limited competitive insulation and below-average business fundamentals. Valuation is rated Elevated, meaning the market may already be pricing in optimistic outcomes.

See the exact pillar breakdown and full financial metrics by signing up for a Pro membership at UQS Score. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does GHM pay dividends?

No — Graham Corporation does not currently pay a dividend.

Graham Corporation does not currently pay a dividend. For a small-cap industrial company operating in defense and specialized energy markets, retaining capital to fund engineering development, contract execution, and potential growth initiatives is a common strategic choice. Income-focused investors should factor this into their assessment of GHM.

When does GHM report earnings?

Graham Corporation reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.

The company's quarterly results tend to reflect the lumpy nature of defense and industrial contract revenue, where timing of deliveries and program milestones can cause variability. Investors should look beyond any single quarter when assessing underlying trends.

For the most recent quarter's results and guidance, visit Graham Corporation's investor relations page directly.

GHM Price History

+756.9% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Graham Corporation?

$
Today it would be worth
$91,958
That's a +820% total return, or +55.9% annualized.

Based on Graham Corporation's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

GHM Long-term Outlook

GHM's Growth pillar is rated Neutral, suggesting the business has some forward momentum — particularly tied to defense spending trends and space-related programs — but has not yet translated that into consistently strong fundamental improvement. The Elevated Valuation pillar introduces meaningful risk: if growth does not accelerate, the current market pricing leaves limited margin for error. The Good Risk rating provides some reassurance that the balance sheet is not a near-term concern.

Growth drivers

  • Expanding defense and space program demand for specialized propulsion and thermal equipment
  • Aftermarket services and spare parts providing recurring revenue alongside project work
  • International expansion into energy and petrochemical markets

Key risks

  • Elevated valuation leaves little room for execution shortfalls
  • Weak Moat rating means limited pricing power against larger competitors
  • Contract-driven revenue creates quarter-to-quarter variability

GHM vs Peers

Graham Corporation operates in a niche corner of the industrials and energy technology space, where its competitive set spans both established power systems players and emerging clean energy companies.

NNEGHM scores higher
Nano Nuclear Energy Inc

Nano Nuclear Energy focuses on micro-reactor nuclear technology, representing an emerging energy source rather than GHM's established defense and industrial equipment manufacturing.

BLDPGHM scores higher
Ballard Power Systems Inc.

Ballard Power Systems centers on hydrogen fuel cell technology for transportation and stationary power, contrasting with GHM's broader vacuum, heat transfer, and defense equipment portfolio.

Frequently Asked Questions

What does Graham Corporation do?

Graham Corporation designs and manufactures highly engineered equipment for defense, space, energy, and industrial markets. Its products include vacuum systems, heat exchangers, rocket propulsion components, torpedo power systems, and thermal management equipment. The company also provides aftermarket services and spare parts, selling directly in the US and internationally.

Does GHM pay dividends?

Graham Corporation does not currently pay a dividend. The company retains capital to support its engineering operations and contract-driven business model. Investors seeking regular income should note that GHM is not structured as a dividend-paying stock at this time.

When does GHM report earnings?

GHM reports on a quarterly cadence, as is standard for US-listed companies. Because defense and industrial contract revenue can be uneven, individual quarters may vary significantly. Check Graham Corporation's investor relations page for the most current reporting schedule and recent results.

Is GHM a good stock to buy?

UQS Score rates GHM as Below Average, driven by Weak Quality and Moat pillar ratings alongside an Elevated Valuation. The Risk pillar is rated Good, which is a relative positive. Whether GHM fits a portfolio depends on individual risk tolerance and investment objectives — the full pillar breakdown is available to Pro members.

Is GHM overvalued?

GHM's Valuation pillar is rated Elevated, suggesting the stock is priced above what the underlying fundamentals might typically support. For a company with Weak Quality and Moat ratings, an elevated valuation means investors are paying a premium that requires strong execution to justify.

How does GHM compare to its competitors?

GHM occupies a niche in specialized defense and industrial equipment manufacturing. Compared to peers like Ballard Power Systems — which focuses on hydrogen fuel cells — or Nano Nuclear Energy, GHM's differentiation lies in its long-standing engineering heritage and defense program exposure rather than emerging clean energy technology.

What is GHM's market cap bracket?

Graham Corporation is classified as a small-cap stock. This means it carries characteristics typical of smaller companies: potentially higher volatility, less analyst coverage, and greater sensitivity to individual contract wins or losses compared to large-cap industrials.

Who founded Graham Corporation?

Graham Corporation was founded in 1936 and has operated for nearly nine decades as a specialized industrial equipment manufacturer. Detailed founding history is publicly available through the company's official investor relations and corporate history resources.

Is GHM a long-term quality investment?

As a long-term quality indicator, GHM's Below Average UQS Score — with Weak ratings in both Quality and Moat — suggests the business has not yet demonstrated the durable competitive advantages typically associated with high-quality long-term holdings. The Good Risk rating is a positive signal, but the overall profile warrants careful consideration.

What is the main competitive advantage of Graham Corporation?

Graham Corporation's primary differentiation comes from its deep engineering expertise in highly specialized, mission-critical equipment for defense and industrial applications. However, the UQS Moat pillar is rated Weak, indicating this advantage may not yet translate into durable pricing power or barriers to competition at the business-model level.

What sector does GHM belong to?

Graham Corporation belongs to the Industrials sector, specifically within the specialized machinery and defense equipment space. Its exposure to defense, space, and energy end markets gives it a somewhat differentiated profile compared to more broadly diversified industrial manufacturers.

Is GHM a growth stock or value stock?

Based on UQS pillar ratings, GHM does not fit cleanly into either category. Its Growth pillar is rated Neutral — neither a clear growth story nor a declining business — while its Valuation pillar is rated Elevated, making it difficult to characterize as a traditional value opportunity.

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Pro Analysis

GHM — Score History

25303540455055Apr 10Apr 28May 16Jun 3Jun 21Jul 8v5
Score changes· 30/40 most recent
DateUQSQualityMoatGrowthRiskValueChange
Jul 7, 202644.033.822.079.553.640.5+2.9
Jul 3, 202641.133.822.076.453.625.5+0.1
Jul 2, 202641.033.822.076.453.624.6+0.2
Jul 1, 202640.833.822.076.453.623.6-0.2
Jun 30, 202641.033.822.076.453.624.5+0.1
Jun 27, 202640.933.822.076.453.624.10.0
Jun 26, 202640.933.822.076.453.623.8-0.2
Jun 25, 202641.133.822.076.453.625.5-0.2
Jun 24, 202641.333.822.076.453.626.8-0.1
Jun 23, 202641.433.822.076.453.627.2+0.1

GHM — Pillar Breakdown

Quality

33.8/100 (25%)

Graham Corporation currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityModerate

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

79.5/100 (20%)

Graham Corporation is growing rapidly with strong revenue and earnings expansion.

Recent Revenue TrendStrong

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

53.6/100 (15%)

Graham Corporation has some risk factors including moderate leverage or solvency concerns.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

40.5/100 (15%)

Graham Corporation has a mixed valuation — some metrics suggest fair value while others appear stretched.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorWeak

Enterprise value multiple relative to sector median.

Moat

22/100 (25%)

Graham Corporation operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for GHM.

Score Composition

Quality
33.8×25%8.4
Growth
79.5×20%15.9
Risk
53.6×15%8.0
Valuation
40.5×15%6.1
Moat
22.0×25%5.5
Total
44.0Below Average

Financial Data

More Stock Analysis

How is the GHM UQS Score Calculated?

The UQS (Unified Quality Score) for Graham Corporation is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Graham Corporation's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Graham Corporation is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.