Graham Corporation
GHMIndustrialsNASDAQSpecialty Industrial Machinery
Scan Results
Daily timeframeGraham Corporation designs and manufactures fluid, power, heat transfer, and vacuum technologies for chemical and petrochemical processing, defense, space, petroleum refining, cryogenic, and energy. Valued at $1.11B, GHM is a small-cap name in its sector. The company offers power plant systems, such as ejectors and surface condensers; torpedo ejection, propulsion, and power systems, including turbines, alternators, regulators, pumps, and blowers; and thermal management systems comprising pumps, blowers, and drive electronics for the defense sector.
Market Cap
$1.11B
Beta
1.04
P/E (TTM)
74.26
P/E (Fwd)
50.38
EPS (TTM)
$1.35
EPS (Fwd)
$1.99
ROE
12.2%
ROA
3.8%
Cash
$22.3M
Total Debt
$6.1M
Free CF
-$11.3M
52W Change
154.3%
Annual Financials
Cash vs Debt
The balance sheet looks solid with $22.3M in cash comfortably exceeding the $6.1M debt load. A net cash position generally provides financial flexibility during uncertain economic periods. The company is burning cash, with free cash flow at -$11.3M. This typically occurs when a company is investing aggressively in growth, but sustained cash burn can strain the balance sheet. ROE of 12.2% points to decent capital efficiency, indicating how much profit the company produces per dollar of shareholder equity. ROA of 3.8% is on the lower side, which is common in asset-heavy industries. Revenue has grown from $122.8M (2022) to $209.9M (2025), reflecting a 71% increase over the period.
The strong cash position relative to debt provides a financial cushion that reduces balance sheet risk. Negative free cash flow means the company is currently spending more than it generates, which may require future fundraising or debt if the trend continues. The elevated P/E ratio means the stock is priced for significant future growth. If earnings disappoint, the price correction could be sharp. Understanding these risk dimensions helps frame what to watch going forward as conditions evolve for Graham Corporation and its sector.