Graham Holdings Co vs 3M Co

Graham Holdings Co (GHC) is undervalued and 3M Co (MMM) is overvalued.

Against our estimates of intrinsic value, GHC trades at the wider discount: a margin of safety of +28%, against -94% for MMM.

Values as of the 22 Sept 2026 close.

Graham Holdings Co (GHC)

Discounting its cash flows at 8.1% (average of 3 methods) values the shares at $1606.92; the price of $1150.03 is 28% below that value, and 79% of that value comes from beyond year five.

Leak Score 84/100 on 3 of 12 signals

3M Co (MMM)

Discounting its cash flows at 9.3% (average of 3 methods) values the shares at $87.07; the price of $169.30 is 94% above that value, and 74% of that value comes from beyond year five.

Leak Score 49/100 on 10 of 12 signals

MetricGHCMMM
VerdictUndervaluedOvervalued
Price$1150.03$169.30
Intrinsic value$1606.92$87.07
Margin of safety+28%-94%
Leak Score84/100 (3/12)49/100 (10/12)
Market cap$4.9B$87.3B
Revenue growth, 5 years11.2%-5.0%
Operating margin5.8%20.9%
Net margin10.6%11.9%
Return on equity11.8%82.8%
Debt to equity0.284.46
P/E9.3x30.1x
Forward P/E17.2x
P/B1.0x29.6x
Dividend yield0.7%1.9%

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