Graham (GHM)
Market Price (11/9/2026): $77.95 | Market Cap: $915.0 MilSector: Industrials | Industry: Industrial Machinery & Supplies & Components
Graham (GHM)
Market Price (11/9/2026): $77.95Market Cap: $915.0 MilSector: IndustrialsIndustry: Industrial Machinery & Supplies & Components
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 15%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 11% Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -37% Megatrend and thematic driversMegatrends include Hydrogen Economy, Energy Transition & Decarbonization, and US Energy Independence. Themes include Green Hydrogen Production, Show more. | Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 58x, P/EPrice/Earnings or Price/(Net Income) is 69x Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.9% Key risksGHM key risks include [1] a heavy reliance on defense contracts from a single key customer, Show more. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 15%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 11% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -37% |
| Megatrend and thematic driversMegatrends include Hydrogen Economy, Energy Transition & Decarbonization, and US Energy Independence. Themes include Green Hydrogen Production, Show more. |
| Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 58x, P/EPrice/Earnings or Price/(Net Income) is 69x |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.9% |
| Key risksGHM key risks include [1] a heavy reliance on defense contracts from a single key customer, Show more. |
Qualitative Assessment
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Graham (GHM) stock has lost about 20% since 7/31/2026 because of the following key factors:
1. Graham Corporation (GHM) experienced a revenue shortfall in its fiscal Q2 2027. The company reported net sales of $69.8 million for the quarter ended September 30, 2026, which missed analyst estimates of $71.1 million, despite a 6% year-over-year increase in sales. While adjusted diluted earnings per share of $0.52 beat the consensus estimate of $0.34, the revenue miss likely tempered investor enthusiasm.
2. Weakness in the Energy & Process market contributed to the revenue miss. During fiscal Q2 2027, sales to the Energy & Process markets decreased by $3.7 million, or 17% compared to the prior year. This decline was primarily attributed to softness in investments in large capital project activity, influenced by geopolitical uncertainties and reduced sales to customers outside the U.S., impacting overall top-line growth.
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Graham (GHM) stock has lost about 20% since 7/31/2026 because of the following key factors:
1. Graham Corporation (GHM) experienced a revenue shortfall in its fiscal Q2 2027. The company reported net sales of $69.8 million for the quarter ended September 30, 2026, which missed analyst estimates of $71.1 million, despite a 6% year-over-year increase in sales. While adjusted diluted earnings per share of $0.52 beat the consensus estimate of $0.34, the revenue miss likely tempered investor enthusiasm.
2. Weakness in the Energy & Process market contributed to the revenue miss. During fiscal Q2 2027, sales to the Energy & Process markets decreased by $3.7 million, or 17% compared to the prior year. This decline was primarily attributed to softness in investments in large capital project activity, influenced by geopolitical uncertainties and reduced sales to customers outside the U.S., impacting overall top-line growth.
3. Analyst price targets were reduced, signaling a more cautious outlook. In the period since July 31, 2026, financial analysts revised their price targets downward for GHM. For instance, Oppenheimer reduced its price target from $130.00 to $115.00 on October 8, 2026, while maintaining an "outperform" rating. More recently, on November 6, 2026, JP Morgan lowered its price target to $100 from $120, though it maintained an "Overweight" rating. These adjustments by key financial institutions reflect a tempered valuation perspective, contributing to negative stock sentiment.
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Stock Movement Drivers
Fundamental Drivers
The -18.6% change in GHM stock from 7/31/2026 to 11/8/2026 was primarily driven by a -19.2% change in the company's P/E Multiple.| (LTM values as of) | 7312026 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 95.90 | 78.02 | -18.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 245 | 265 | 8.0% |
| Net Income Margin (%) | 5.1% | 5.0% | -1.0% |
| P/E Multiple | 84.8 | 68.5 | -19.2% |
| Shares Outstanding (Mil) | 11 | 12 | -5.8% |
| Cumulative Contribution | -18.6% |
Market Drivers
7/31/2026 to 11/8/2026| Return | Correlation | |
|---|---|---|
| GHM | -18.6% | |
| Market (SPY) | -1.6% | 21.7% |
| Sector (XLI) | -9.5% | 40.4% |
Fundamental Drivers
The -18.0% change in GHM stock from 4/30/2026 to 11/8/2026 was primarily driven by a -19.7% change in the company's Net Income Margin (%).| (LTM values as of) | 4302026 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 95.20 | 78.02 | -18.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 238 | 265 | 11.5% |
| Net Income Margin (%) | 6.3% | 5.0% | -19.7% |
| P/E Multiple | 70.1 | 68.5 | -2.3% |
| Shares Outstanding (Mil) | 11 | 12 | -6.4% |
| Cumulative Contribution | -18.0% |
Market Drivers
4/30/2026 to 11/8/2026| Return | Correlation | |
|---|---|---|
| GHM | -18.0% | |
| Market (SPY) | 2.6% | 28.8% |
| Sector (XLI) | -6.6% | 50.4% |
Fundamental Drivers
The 25.3% change in GHM stock from 10/31/2025 to 11/8/2026 was primarily driven by a 39.5% change in the company's P/E Multiple.| (LTM values as of) | 10312025 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 62.29 | 78.02 | 25.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 215 | 265 | 23.0% |
| Net Income Margin (%) | 6.4% | 5.0% | -21.6% |
| P/E Multiple | 49.1 | 68.5 | 39.5% |
| Shares Outstanding (Mil) | 11 | 12 | -6.9% |
| Cumulative Contribution | 25.3% |
Market Drivers
10/31/2025 to 11/8/2026| Return | Correlation | |
|---|---|---|
| GHM | 25.3% | |
| Market (SPY) | 8.7% | 42.6% |
| Sector (XLI) | 5.8% | 58.9% |
Fundamental Drivers
The 400.4% change in GHM stock from 10/31/2023 to 11/8/2026 was primarily driven by a 264.9% change in the company's Net Income Margin (%).| (LTM values as of) | 10312023 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 15.59 | 78.02 | 400.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 169 | 265 | 57.1% |
| Net Income Margin (%) | 1.4% | 5.0% | 264.9% |
| P/E Multiple | 71.2 | 68.5 | -3.9% |
| Shares Outstanding (Mil) | 11 | 12 | -9.2% |
| Cumulative Contribution | 400.4% |
Market Drivers
10/31/2023 to 11/8/2026| Return | Correlation | |
|---|---|---|
| GHM | 400.4% | |
| Market (SPY) | 81.9% | 46.7% |
| Sector (XLI) | 72.0% | 54.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| GHM Return | -16% | -23% | 97% | 134% | 44% | 21% | 430% |
| Peers Return | 1% | -25% | 17% | 66% | -3% | 4% | 48% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 105% |
Monthly Win Rates [3] | |||||||
| GHM Win Rate | 42% | 50% | 67% | 58% | 67% | 55% | |
| Peers Win Rate | 52% | 33% | 52% | 50% | 56% | 43% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 45% | |
Max Drawdowns [4] | |||||||
| GHM Max Drawdown | -30% | -52% | -24% | -23% | -46% | -48% | |
| Peers Max Drawdown | -30% | -42% | -31% | -30% | -36% | -43% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: XYL, GGG, MFP, OPTT, PH.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/6/2026 (YTD)
How Low Can It Go
| Event | GHM | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -26.4% | -18.8% |
| % Gain to Breakeven | 35.9% | 23.1% |
| Time to Breakeven | 35 days | 79 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -15.0% | -6.7% |
| % Gain to Breakeven | 17.6% | 7.1% |
| Time to Breakeven | 22 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -49.7% | -24.5% |
| % Gain to Breakeven | 98.9% | 32.4% |
| Time to Breakeven | 203 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -38.8% | -33.7% |
| % Gain to Breakeven | 63.4% | 50.9% |
| Time to Breakeven | 1210 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -26.5% | -19.2% |
| % Gain to Breakeven | 36.1% | 23.8% |
| Time to Breakeven | 1918 days | 105 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -16.5% | -12.2% |
| % Gain to Breakeven | 19.7% | 13.9% |
| Time to Breakeven | 45 days | 62 days |
In The Past
Graham's stock fell -26.4% during the 2025 US Tariff Shock. Such a loss loss requires a 35.9% gain to breakeven.
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Asset Allocation
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| Event | GHM | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -26.4% | -18.8% |
| % Gain to Breakeven | 35.9% | 23.1% |
| Time to Breakeven | 35 days | 79 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -49.7% | -24.5% |
| % Gain to Breakeven | 98.9% | 32.4% |
| Time to Breakeven | 203 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -38.8% | -33.7% |
| % Gain to Breakeven | 63.4% | 50.9% |
| Time to Breakeven | 1210 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -26.5% | -19.2% |
| % Gain to Breakeven | 36.1% | 23.8% |
| Time to Breakeven | 1918 days | 105 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -50.4% | -6.8% |
| % Gain to Breakeven | 101.7% | 7.3% |
| Time to Breakeven | 948 days | 15 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -24.7% | -17.9% |
| % Gain to Breakeven | 32.8% | 21.8% |
| Time to Breakeven | 25 days | 123 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -27.4% | -15.4% |
| % Gain to Breakeven | 37.7% | 18.2% |
| Time to Breakeven | 149 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -66.8% | -53.4% |
| % Gain to Breakeven | 201.3% | 114.4% |
| Time to Breakeven | 688 days | 1085 days |
In The Past
Graham's stock fell -26.4% during the 2025 US Tariff Shock. Such a loss loss requires a 35.9% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Graham (GHM)
Graham Corporation (GHM) is an engineering and manufacturing company that designs, produces, and supplies highly specialized vacuum and heat transfer equipment for a wide range of industrial applications. The company also offers turbomachinery products for advanced technological markets. Beyond manufacturing, Graham supports its installed base by providing essential servicing and selling spare parts for its equipment.
The company's primary offerings include a comprehensive suite of heat transfer equipment such as surface condensers, heliflows, water heaters, and various types of heat exchangers, in addition to custom-engineered ejectors. For vacuum-related needs, Graham manufactures steam jet ejector vacuum systems and liquid ring vacuum pumps. Its turbomachinery segment develops critical components for the aerospace, cryogenic, defense, and energy markets.
Graham serves a global and diverse customer base, with its equipment being vital to industries such as chemical processing, petrochemicals, and petroleum refining. The company also plays a role in power generation, alternative energy, and the defense sector. With its specialized turbomachinery, it caters to the aerospace and cryogenic industries. Graham reaches its customers through direct sales and a network of independent sales representatives across the United States, the Middle East, Canada, Asia, South America, and other international territories.
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Graham (GHM) is like:
- A very specialized division of General Electric (GE), focusing entirely on the vacuum and heat transfer systems essential for industrial plants and power generation.
- An industrial-grade Trane Technologies, but providing critical heat transfer and vacuum equipment specifically for chemical, refining, and power generation facilities.
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- Heat Transfer Equipment: This includes surface condensers, heliflows, water heaters, various types of heat exchangers, and custom-engineered ejectors for industrial applications.
- Vacuum Equipment: Graham offers steam jet ejector vacuum systems and liquid ring vacuum pumps designed for creating and maintaining vacuum.
- Turbomachinery Products: Specialized rotating machinery is provided for the aerospace, cryogenic, defense, and energy markets.
- Aftermarket Services and Spare Parts: The company services its manufactured equipment and sells replacement parts.
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Graham Corporation (GHM) primarily sells its products and services to other companies (B2B).
Graham Corporation does not publicly disclose the names of its specific major customers, which is common for companies operating in the industrial supply sector. Public filings indicate that no single customer accounted for 10% or more of net sales in recent fiscal years, meaning there isn't a single dominant customer to be named.
Based on the company's descriptions, its major customers are companies operating within the following industries:
- Chemical Industry
- Petrochemical Industry
- Petroleum Refining Industry
- Power Generation / Alternative Energy Industry
- Defense Industry
- Aerospace Industry
- Cryogenic Industry
- Other industrial sectors requiring vacuum and heat transfer equipment and turbomachinery products.
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Matthew J. Malone, President and Chief Executive Officer
Matthew J. Malone became President and Chief Executive Officer of Graham Corporation in June 2025. He joined Barber-Nichols, a Graham subsidiary, in 2015 as a Project Engineer focusing on rocket engine turbopump design and development. He was promoted to Navy Program Manager in 2018 and became Vice President of Operations for Barber-Nichols in 2020. Mr. Malone began his career at GE Transportation, holding various engineering and management positions.
Christopher J. Thome, Vice President - Finance, Chief Financial Officer and Chief Accounting Officer
Christopher J. Thome was appointed Vice President - Finance and Chief Financial Officer of Graham Corporation in April 2022. Prior to joining Graham, Mr. Thome served as Corporate Controller for Allied Motion Technologies Inc. (Nasdaq: AMOT). He brings nearly 30 years of experience in finance and accounting leadership, audit, public company financial reporting, treasury, operational accounting, and shared services implementation. From 2006 to 2020, he held progressively advancing roles at Integer Holdings (NYSE: ITGR), including Senior Director – Treasurer and Senior Director – Financial Reporting, Treasury Operations and Shared Services. Mr. Thome also served as Vice President – Reporting and Investor Relations Manager with First Niagara Financial Group and began his career as a Senior Accountant with PricewaterhouseCoopers LLP.
Mike Dixon, Vice President and General Manager of Barber-Nichols
Mike Dixon became Vice President of Graham Corporation and General Manager of Barber-Nichols in June 2025. Before this role, he served as Director of Sales and Marketing at Graham since August 2021, where he played a key role in expanding technical capabilities and securing major contracts in the space, aerospace, and defense sectors. His career also includes roles of increasing responsibility at Sundyne, and he began his career at ESS Metron.
Matthew Gross, Vice President and General Manager, FlackTek™
Matthew Gross joined Graham Corporation’s leadership team as Vice President and General Manager, where he leads the FlackTek™ business. He is the former CEO and Co-Founder of FlackTek™, an entrepreneur and materials engineer with over a decade of technical and executive leadership experience, and a track record of translating engineering innovation into scalable commercial success. Prior to co-founding FlackTek™, Mr. Gross served as a Materials Engineer at Ball Aerospace.
William Zmyndak, Deputy General Manager of Graham Manufacturing (to be Vice President and General Manager)
William Zmyndak was appointed Deputy General Manager of Graham Manufacturing in February 2026 and is expected to assume the role of Vice President and General Manager of Graham Manufacturing in April 2026, succeeding Alan Smith. Mr. Zmyndak brings more than three decades of manufacturing and operational leadership experience, including senior leadership and P&L responsibility across complex, multi-site aerospace and industrial businesses. Before joining Graham, he served as Vice President and General Manager at ITT Control Technologies. Earlier in his career, he held senior leadership roles at Kaman Aerosystems, Chromalloy, Barnes Aerospace, and Pratt & Whitney.
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The key risks to Graham Corporation's business are:
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Customer Concentration in the Defense Industry: Graham Corporation faces significant customer concentration risk due to its increasing reliance on the defense industry, particularly the U.S. Navy. Sales to the defense sector accounted for approximately 58% of total sales in fiscal 2025 and 54% in fiscal 2024. Furthermore, roughly 85% of the company's record backlog, which was $515.6 million as of February 2026 and $500.1 million as of the end of the third quarter of calendar year 2025 (Q2 Fiscal Year 2026), is tied to defense programs, primarily the U.S. Navy. This concentration exposes Graham to potential disruptions, short or long term, in funding for these projects or shifts in U.S. Navy priorities and budgets.
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Cyclicality and Market Uncertainty in the Energy & Process Segment: Graham's energy business is highly cyclical, depending heavily on customers' willingness to invest in major capital projects. The Energy & Process segment is currently experiencing a mixed demand environment, characterized by slowing large capital expenditure decisions due to factors such as lower oil prices, tariffs, and broader macroeconomic uncertainty. While the company has diversified into defense to mitigate this, sales to the more cyclical refining industry still represented approximately 16% of revenue in fiscal 2024.
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Project Delays and Conversion Risk of Backlog: Although Graham boasts a record backlog, a significant portion of this future revenue is subject to macro-level delays and the inherent complexities of large, custom projects. Delays in defense projects can impact revenue recognition, and any shifts in defense budgets or program timing could affect the conversion of this substantial backlog to actual revenue. Additionally, "lumpy material receipts and order timing" can introduce quarter-to-quarter volatility in margins and reported results, requiring efficient execution to convert the backlog into timely revenue without margin erosion.
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Graham Corporation (GHM) operates within several significant addressable markets for its vacuum and heat transfer equipment, and turbomachinery products globally.
Vacuum and Heat Transfer Equipment
- Heat Exchangers: The global heat exchangers market was valued at approximately USD 19.25 billion in 2024 and is projected to grow to about USD 36.60 billion by 2034. Other estimates place the global market size at USD 19.7 billion in 2023, projected to reach USD 33.2 billion by 2033, or USD 20.01 billion in 2025, growing to USD 33.60 billion by 2034. The market is driven by extensive usage in chemical plants, petrochemical plants, power stations, and petroleum refineries.
- Industrial Vacuum Pumps: The global industrial vacuum pump market size was estimated at USD 5.93 billion in 2025 and is expected to reach USD 8.04 billion by 2030. Another report estimated the global vacuum pumps market size at USD 6.87 billion in 2025, with a projection to increase to approximately USD 12.01 billion by 2035. The demand is fueled by semiconductor manufacturing, chemical processing, and energy industries.
Turbomachinery Products
- Overall Turbomachinery Market: The global turbomachinery market was valued at approximately USD 13.8 billion in 2024 and is expected to reach USD 21.4 billion by 2031. Another assessment indicates the market was valued at USD 27.91 billion in 2024 and is expected to reach USD 32.37 billion by 2032. This market is driven by demand from industries such as oil & gas, power generation, and aerospace.
- Aerospace Turbomachinery (Aircraft Turbine Engines): The global aircraft turbine engine market size was approximately USD 82.64 billion in 2024 and is predicted to grow to around USD 182.49 billion by 2034. The aviation gas turbine market specifically was valued at USD 12.14 billion in 2025 and is expected to grow to USD 16.21 billion by 2030.
- Cryogenic Equipment: The global cryogenic equipment market, which is relevant for turbomachinery in cryogenic applications, was estimated at USD 21.4 billion in 2025 and is expected to grow to USD 37 billion by 2035. Other estimates include a market size of USD 22.73 billion in 2024, expected to reach USD 34.40 billion by 2033, or USD 26.57 billion in 2025, expected to reach USD 45.39 billion by 2033.
- Defense Industry Equipment: The broader global defense equipment market, which Graham serves with certain products, was valued at USD 539.96 billion in 2024 and is projected to reach USD 795.54 billion by 2033. Specific segments include the air-based defense equipment market, which was USD 174.46 billion in 2025, and the military and defense ground support equipment market, valued at USD 829.4 million in 2025.
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Graham Corporation (GHM) is expected to drive future revenue growth over the next 2-3 years through several key areas:
- Strong Demand and Conversion of Record Backlog in the Defense Sector: Graham's defense segment is a primary revenue source, particularly with critical U.S. Navy programs, including the Virginia- and Columbia-class nuclear submarine programs. The company has a record backlog, with a significant portion expected to convert to revenue within the next 12-24 months, providing strong revenue visibility and growth.
- Growth in Space and New Energy Markets: The company is experiencing strong demand in the space market, which is considered a high-growth area. Additionally, the energy and process market is showing momentum, especially in new energy applications like small modular reactors (SMRs).
- Strategic Acquisitions and Investments: Recent strategic acquisitions, such as FlackTek and Xdot Bearing Technologies, are expected to enhance Graham's competitive positioning, expand its technology platforms, and contribute to overall revenue growth. The company is also making strategic investments in organic growth opportunities, including modernizing designs, expanding offerings, and improving facilities and automated technologies.
- Organic Growth Initiatives and Operational Execution: Graham is focused on organic revenue growth, targeting 8% to 10% annually, supported by new programs, better pricing strategies, and continuous improvements in operational efficiency. These initiatives are aimed at expanding core technology platforms and leveraging new capabilities to enhance market reach and profitability.
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Capital Allocation Decisions of Graham Corporation (GHM) over the Last 3-5 Years
Share Repurchases
- Graham Corporation made share repurchases totaling approximately $834.88 thousand in fiscal year 2025 (ended March 31, 2025).
- Share repurchases for fiscal year 2024 (ended March 31, 2024) were approximately $59.26 thousand.
- In fiscal year 2023 (ended March 31, 2023) and fiscal year 2022 (ended March 31, 2022), the company repurchased approximately $23.76 thousand and $43.87 thousand of its shares, respectively.
Share Issuance
- In January 2026, Graham Corporation issued 75,818 shares of its common stock as part of the consideration for the acquisition of FlackTek Manufacturing and FlackTek Sales.
- As of November 6, 2025, Graham Corporation had 10,987,954 shares of common stock outstanding.
Inbound Investments
- In fiscal year 2024, Graham Corporation received a $13.5 million strategic investment from a major defense customer to expand its Batavia, New York production capabilities, primarily for machinery and equipment, supporting the U.S. Navy's shipbuilding schedule.
- Fiscal year 2025 benefited from a $1.3 million grant received from the BlueForge Alliance to reimburse the company for costs associated with its Defense welder training programs in Batavia and related equipment.
Outbound Investments
- In January 2026, Graham Corporation acquired FlackTek Manufacturing and FlackTek Sales for a purchase price of $35 million. This was paid 85% in cash and 15% through the issuance of 75,818 shares of Graham common stock, with a potential for up to $25 million in performance-based cash earnouts over four years starting in fiscal year 2027.
- In November 2023 (fiscal year 2024), the company invested $6.8 million in the acquisition of P3 Technologies.
- Graham Corporation acquired Barber-Nichols, LLC in June 2021 (fiscal year 2022).
Capital Expenditures
- For the third quarter of fiscal year 2026 (ended December 31, 2025), capital expenditures were $2.2 million, primarily focused on capacity expansion, increasing capabilities, and productivity improvements.
- Capital expenditures for fiscal year 2025 (ended March 31, 2025) totaled $19.0 million, dedicated to capacity expansion, increasing capabilities, and productivity improvements, including projects such as automated welding, the expansion of its Batavia, NY facility, and a new cryogenic testing facility.
- In fiscal year 2024 (ended March 31, 2024), capital expenditures were $9.2 million, concentrated on capacity expansion, productivity improvements, and the initiation of ERP system implementation. Expected capital expenditures for the full fiscal year 2026 are projected to be between $15.0 million and $18.0 million, with an estimated 7% to 10% of sales allocated to capital expenditures annually for the next several years.
Peer Outperformance in Industrial Machinery & Supplies & Components
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Marine Transportation | 5 | 28.7% | 34.6% | 109.9% | MATX 149% · KEX 110% |
| Construction Machinery & Heavy Transportation Equipment | 14 | 9.1% | 66.3% | 93.0% | ALSN 261% · WAB 201% · CAT 183% |
| Construction & Engineering | 28 | -21.4% | 94.1% | 91.9% | FIX 948% · STRL 785% · AGX 563% |
| Aerospace & Defense | 54 | -2.0% | 55.7% | 55.6% | ATI 901% · FTAI 836% · HWM 537% |
| Trading Companies & Distributors | 19 | 11.5% | 30.7% | 29.4% | DXPE 293% · AIT 187% · URI 179% |
| Industrial Machinery & Supplies & Components ← | 71 | 1.0% | 48.7% | 28.0% | CRS 766% · MLI 290% · SYM 266% |
| Rail Transportation | 7 | 33.7% | 69.8% | 24.9% | CSX 48% · UNP 36% · NSC 25% |
| Building Products | 34 | -7.3% | 6.8% | 12.8% | MOD 753% · GFF 340% · TT 128% |
| Diversified Support Services | 35 | 15.7% | 39.1% | 11.9% | CXW 197% · OPLN 136% · CTAS 113% |
| Cargo Ground Transportation | 16 | 27.7% | 13.1% | 1.3% | XPO 265% · R 246% · SNDR 17% |
| Office Services & Supplies | 10 | 19.6% | 25.3% | -2.8% | PBI 146% · HNI 39% · MSA 17% |
| Industrial Conglomerates | 17 | 14.5% | 8.0% | -4.5% | CSW 97% · DD 69% · CSL 68% |
| Electrical Components & Equipment | 39 | -7.8% | 58.1% | -7.7% | POWL 1421% · VRT 567% · BE 387% |
| Data Processing & Outsourced Services | 6 | -10.2% | 2.7% | -13.5% | EXLS 59% · BR 19% · G -10% |
| Research & Consulting Services | 13 | 0.5% | -11.2% | -24.9% | HURN 212% · FCN 37% · BAH 7% |
| Agricultural & Farm Machinery | 16 | 14.8% | -3.4% | -26.2% | DE 99% · TTC 14% · AGCO 2% |
| Security & Alarm Services | 9 | -47.2% | 35.9% | -28.5% | BCO 72% |
| Environmental & Facilities Services | 29 | -22.8% | 26.2% | -30.4% | GEO 194% · CLH 164% · RSG 97% |
| Passenger Airlines | 11 | 4.0% | 75.4% | -33.9% | LTM 3031% · UAL 112% · DAL 103% |
| Air Freight & Logistics | 12 | -31.2% | -8.1% | -40.8% | FDX 71% · EXPD 56% · CHRW 49% |
| Human Resource & Employment Services | 22 | 22.1% | -15.8% | -42.2% | ADP 49% · FA 14% · PAYX 12% |
| Passenger Ground Transportation | 3 | -22.5% | 37.0% | -57.3% | UBER 49% · CAR -57% · LYFT -69% |
| Airport Services | 4 | -42.8% | -62.5% | -87.2% | JOBY -37% |
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| Graham Earnings Notes | 12/16/2025 | |
| Would You Still Hold Graham Stock If It Fell 30%? | 10/17/2025 |
| Title | |
|---|---|
| ARTICLES |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 73.05 |
| Mkt Cap | 16.9 |
| Rev LTM | 2,310 |
| Op Inc LTM | 620 |
| FCF LTM | 600 |
| FCF 3Y Avg | 727 |
| CFO LTM | 660 |
| CFO 3Y Avg | 936 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 8.6% |
| Rev Chg 3Y Avg | 7.6% |
| Rev Chg Q | 6.8% |
| QoQ Delta Rev Chg LTM | 1.7% |
| Op Inc Chg LTM | 11.3% |
| Op Inc Chg 3Y Avg | 20.4% |
| Op Mgn LTM | 16.1% |
| Op Mgn 3Y Avg | 17.2% |
| QoQ Delta Op Mgn LTM | 0.2% |
| CFO/Rev LTM | 14.6% |
| CFO/Rev 3Y Avg | 16.3% |
| FCF/Rev LTM | 10.9% |
| FCF/Rev 3Y Avg | 13.3% |
Segment Financials
Revenue by Segment| $ Mil | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Design and manufacture mission critical fluid, power, heat transfer, vacuum and advanced mixing | 245 | 210 | 186 | 157 | 123 |
| Total | 245 | 210 | 186 | 157 | 123 |
| $ Mil | 2026 | 2025 | 2024 | 2023 |
|---|---|---|---|---|
| Design and manufacture mission critical fluid, power, heat transfer, vacuum and advanced mixing | 12 | 12 | 5 | 0 |
| Total | 12 | 12 | 5 | 0 |
Price Behavior
| Market Price | $78.02 | |
| Market Cap ($ Bil) | 0.9 | |
| First Trading Date | 03/17/1992 | |
| Distance from 52W High | -37.0% | |
| 50 Days | 200 Days | |
| DMA Price | $80.18 | $91.29 |
| DMA Trend | down | up |
| Distance from DMA | -2.7% | -14.5% |
| 3M | 1YR | |
| Volatility | 50.7% | 55.1% |
| Downside Capture | 223.50 | 197.02 |
| Upside Capture | 89.98 | 202.66 |
| Correlation (S&P 500) | 13.7% | 43.2% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 2.55 | 1.92 | 2.28 | 1.88 | 2.11 | 1.66 |
| Up Beta | 6.97 | 2.27 | 3.40 | 2.45 | 2.22 | 1.48 |
| Down Beta | 1.11 | 2.10 | 2.09 | 1.13 | 1.92 | 1.51 |
| Up Capture | 126% | 114% | 124% | 165% | 348% | 1427% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 9 | 20 | 31 | 63 | 132 | 395 |
| Down Capture | 375% | 243% | 269% | 199% | 155% | 111% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 13 | 23 | 33 | 63 | 119 | 353 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with GHM | |
|---|---|---|---|---|
| GHM | 22.1% | 55.1% | 0.56 | - |
| Sector ETF (XLI) | 7.1% | 17.8% | 0.22 | 58.9% |
| Equity (SPY) | 9.5% | 13.6% | 0.40 | 42.6% |
| Gold (GLD) | 1.6% | 28.7% | 0.05 | 23.9% |
| Commodities (DBC) | 38.4% | 21.2% | 1.42 | -16.1% |
| Real Estate (VNQ) | 11.3% | 14.2% | 0.51 | 11.7% |
| Bitcoin (BTCUSD) | -27.2% | 43.6% | -0.61 | 17.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with GHM | |
|---|---|---|---|---|
| GHM | 42.9% | 51.2% | 0.88 | - |
| Sector ETF (XLI) | 10.9% | 17.7% | 0.45 | 39.1% |
| Equity (SPY) | 11.3% | 17.3% | 0.48 | 34.3% |
| Gold (GLD) | 17.5% | 19.1% | 0.74 | 9.8% |
| Commodities (DBC) | 8.1% | 19.6% | 0.30 | 5.8% |
| Real Estate (VNQ) | 1.3% | 18.9% | -0.04 | 17.7% |
| Bitcoin (BTCUSD) | 4.0% | 51.6% | 0.26 | 15.2% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with GHM | |
|---|---|---|---|---|
| GHM | 16.8% | 46.1% | 0.50 | - |
| Sector ETF (XLI) | 13.0% | 20.1% | 0.56 | 39.9% |
| Equity (SPY) | 15.0% | 18.0% | 0.70 | 35.8% |
| Gold (GLD) | 11.9% | 16.5% | 0.59 | 7.0% |
| Commodities (DBC) | 7.5% | 18.1% | 0.33 | 11.9% |
| Real Estate (VNQ) | 5.9% | 20.7% | 0.24 | 23.8% |
| Bitcoin (BTCUSD) | 60.0% | 66.3% | 1.00 | 9.0% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 11/9/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 11/5/2026 | 3.7% | ||
| 8/6/2026 | 0.5% | 8.3% | -17.7% |
| 6/8/2026 | -11.0% | -3.0% | -0.4% |
| 2/6/2026 | 12.9% | 13.7% | 15.9% |
| 11/7/2025 | 0.4% | -6.4% | -0.3% |
| 8/5/2025 | -18.2% | -15.6% | -17.5% |
| 6/9/2025 | 6.3% | 10.1% | 22.5% |
| 2/7/2025 | -16.1% | -20.2% | -35.6% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 15 | 13 | 11 |
| # Negative | 9 | 10 | 12 |
| Median Positive | 7.0% | 13.7% | 20.7% |
| Median Negative | -5.8% | -4.9% | -5.8% |
| Max Positive | 17.0% | 21.6% | 44.7% |
| Max Negative | -24.4% | -21.7% | -35.6% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 11/5/2026 | 3.7% | ||
| 8/6/2026 | 0.5% | 8.3% | -17.7% |
| 6/8/2026 | -11.0% | -3.0% | -0.4% |
| 2/6/2026 | 12.9% | 13.7% | 15.9% |
| 11/7/2025 | 0.4% | -6.4% | -0.3% |
| 8/5/2025 | -18.2% | -15.6% | -17.5% |
| 6/9/2025 | 6.3% | 10.1% | 22.5% |
| 2/7/2025 | -16.1% | -20.2% | -35.6% |
| 11/8/2024 | 17.0% | 21.6% | 29.6% |
| 8/7/2024 | -4.1% | -0.8% | -1.1% |
| 6/7/2024 | 6.1% | 13.7% | 4.3% |
| 2/5/2024 | 11.0% | 15.9% | 20.7% |
| 11/6/2023 | -2.4% | 1.4% | 9.8% |
| 8/7/2023 | 13.5% | 20.3% | 21.2% |
| 6/8/2023 | 11.1% | 13.7% | 11.5% |
| 2/6/2023 | 7.0% | 16.4% | 31.3% |
| 11/7/2022 | 9.0% | 16.6% | 15.2% |
| 7/29/2022 | 8.3% | 19.2% | 44.7% |
| 6/9/2022 | 6.1% | -3.3% | -18.8% |
| 2/8/2022 | -24.4% | -21.7% | -33.1% |
| 10/27/2021 | -2.7% | -0.5% | -0.5% |
| 8/10/2021 | -3.9% | -9.2% | -6.2% |
| 6/1/2021 | 4.2% | 0.6% | -5.4% |
| 1/28/2021 | -5.8% | -0.6% | -0.8% |
| SUMMARY STATS | |||
| # Positive | 15 | 13 | 11 |
| # Negative | 9 | 10 | 12 |
| Median Positive | 7.0% | 13.7% | 20.7% |
| Median Negative | -5.8% | -4.9% | -5.8% |
| Max Positive | 17.0% | 21.6% | 44.7% |
| Max Negative | -24.4% | -21.7% | -35.6% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 11/05/2026 | 10-Q |
| 06/30/2026 | 08/06/2026 | 10-Q |
| 03/31/2026 | 06/08/2026 | 10-K |
| 12/31/2025 | 02/06/2026 | 10-Q |
| 09/30/2025 | 11/07/2025 | 10-Q |
| 06/30/2025 | 08/05/2025 | 10-Q |
| 03/31/2025 | 06/09/2025 | 10-K |
| 12/31/2024 | 02/07/2025 | 10-Q |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 06/07/2024 | 10-K |
| 12/31/2023 | 02/05/2024 | 10-Q |
| 09/30/2023 | 11/06/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 06/08/2023 | 10-K |
| 12/31/2022 | 02/06/2023 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 11/05/2026 | 10-Q |
| 06/30/2026 | 08/06/2026 | 10-Q |
| 03/31/2026 | 06/08/2026 | 10-K |
| 12/31/2025 | 02/06/2026 | 10-Q |
| 09/30/2025 | 11/07/2025 | 10-Q |
| 06/30/2025 | 08/05/2025 | 10-Q |
| 03/31/2025 | 06/09/2025 | 10-K |
| 12/31/2024 | 02/07/2025 | 10-Q |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 06/07/2024 | 10-K |
| 12/31/2023 | 02/05/2024 | 10-Q |
| 09/30/2023 | 11/06/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 06/08/2023 | 10-K |
| 12/31/2022 | 02/06/2023 | 10-Q |
| 09/30/2022 | 11/07/2022 | 10-Q |
| 06/30/2022 | 08/01/2022 | 10-Q |
| 03/31/2022 | 06/09/2022 | 10-K |
| 12/31/2021 | 02/08/2022 | 10-Q |
| 09/30/2021 | 10/29/2021 | 10-Q |
| 06/30/2021 | 08/12/2021 | 10-Q |
| 03/31/2021 | 06/02/2021 | 10-K |
| 12/31/2020 | 02/01/2021 | 10-Q |
| 09/30/2020 | 10/30/2020 | 10-Q |
| 06/30/2020 | 08/03/2020 | 10-Q |
| 03/31/2020 | 06/15/2020 | 10-K |
| 12/31/2019 | 01/31/2020 | 10-Q |
Recent Forward Guidance
Updated 11/6/2026Latest: Q2 2027 Earnings Reported 11/5/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2027 Net Sales | Reported | 285.00 Mil | 290.00 Mil | 295.00 Mil | 0.0% | Affirmed | Guidance: 290.00 Mil for 2027 | |
| 2027 Gross Margin | Reported | 25.0% | 25.5% | 26.0% | 0.5% | Raised | Guidance: 25.0% for 2027 | |
| 2027 SG&A expense (% of sales) | Reported | 17.5% | 18.0% | 18.5% | 1.0% | Raised | Guidance: 17.0% for 2027 | |
| 2027 Adjusted EBITDA | Reported | 35.00 Mil | 37.50 Mil | 40.00 Mil | 0.0% | Affirmed | Guidance: 37.50 Mil for 2027 | |
| 2027 Effective Tax Rate | Reported | 18.0% | 19.0% | 20.0% | 0.0% | Affirmed | Guidance: 19.0% for 2027 | |
| 2027 Capital Expenditures | Reported | 15.00 Mil | 17.50 Mil | 20.00 Mil | -12.5% | Lowered | Guidance: 20.00 Mil for 2027 | |
Prior: Q1 2027 Earnings Reported 8/6/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2027 Net Sales | Reported | 285.00 Mil | 290.00 Mil | 295.00 Mil | 0 | Affirmed | Guidance: 290.00 Mil for 2027 | |
| 2027 Gross Profit | Calculated | 69.83 Mil | 72.50 Mil | 75.22 Mil | Rev x Gross Margin | |||
| 2027 Gross Margin | Reported | 24.5% | 25.0% | 25.5% | 0 | Affirmed | Guidance: 25.0% for 2027 | |
| 2027 SG&A expense | Reported | 0.17 | 0.17 | 0.18 | 0 | Affirmed | Guidance: 0.17 for 2027 | |
| 2027 Adjusted EBITDA | Reported | 35.00 Mil | 37.50 Mil | 40.00 Mil | 0 | Affirmed | Guidance: 37.50 Mil for 2027 | |
| 2027 Effective Tax Rate | Reported | 18.0% | 19.0% | 20.0% | 0 | Affirmed | Guidance: 19.0% for 2027 | |
| 2027 Capital Expenditures | Reported | 18.00 Mil | 20.00 Mil | 22.00 Mil | 0 | Affirmed | Guidance: 20.00 Mil for 2027 | |
Q4 2026 Earnings Reported 6/8/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2027 Net Sales | Reported | 285.00 Mil | 290.00 Mil | 295.00 Mil | 22.9% | Higher New | Guidance: 236.00 Mil for 2026 | |
| 2027 Gross Profit | Calculated | 69.83 Mil | 72.50 Mil | 75.22 Mil | Rev x Gross Margin | |||
| 2027 Gross Margin | Reported | 24.5% | 25.0% | 25.5% | 0.5% | Higher New | Guidance: 24.5% for 2026 | |
| 2027 SG&A expense | Reported | 0.17 | 0.17 | 0.18 | -1.0% | Lower New | Guidance: 0.18 for 2026 | |
| 2027 Adjusted EBITDA | Reported | 35.00 Mil | 37.50 Mil | 40.00 Mil | 44.2% | Higher New | Guidance: 26.00 Mil for 2026 | |
| 2027 Effective Tax Rate | Reported | 18.0% | 19.0% | 20.0% | 2.0% | Higher New | Guidance: 17.0% for 2026 | |
| 2027 Capital Expenditures | Reported | 18.00 Mil | 20.00 Mil | 22.00 Mil | 21.2% | Higher New | Guidance: 16.50 Mil for 2026 | |
Q3 2026 Earnings Reported 2/6/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Net Sales | Reported | 233.00 Mil | 236.00 Mil | 239.00 Mil | 2.6% | Raised | Guidance: 230.00 Mil for 2026 | |
| 2026 Gross Margin | Reported | 24.0% | 24.5% | 25.0% | -0.5% | Lowered | Guidance: 25.0% for 2026 | |
| 2026 SG&A expense | Reported | 0.18 | 0.18 | 0.19 | 0 | Affirmed | Guidance: 0.18 for 2026 | |
| 2026 Adjusted EBITDA | Reported | 24.00 Mil | 26.00 Mil | 28.00 Mil | 4.0% | Raised | Guidance: 25.00 Mil for 2026 | |
| 2026 Effective Tax Rate | Reported | 16.0% | 17.0% | 18.0% | -4.0% | Lowered | Guidance: 21.0% for 2026 | |
| 2026 Capital Expenditures | Reported | 15.00 Mil | 16.50 Mil | 18.00 Mil | 0 | Affirmed | Guidance: 16.50 Mil for 2026 | |
Insider Activity
Updated 9/21/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Gregorio, Mauro | Direct | Buy | 9152025 | 49.01 | 1,200 | 58,812 | 58,812 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Gregorio, Mauro | Direct | Buy | 9152025 | 49.01 | 1,200 | 58,812 | 58,812 | Form |
Industry Resources
| Industrials Resources |
| IndustryWeek |
| Manufacturing.net |
| Aviation Week |
| Industrial Machinery & Supplies & Components Resources |
| Machine Design |
| Modern Machine Shop |
| Industrial Equipment News (IEN) |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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