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15 Stocks Benjamin Graham Would Like Today

Posted, by YoungWarren on December 17th, 2007

Ryan Freund, a Value Investing Blogger, has shared with us some of the key attributes that Benjamin Graham, and Warren Buffett, uses when narrowing down their universe of stocks. I have provided the 6 attributes by Graham, but check out Freund Investing to see their changes to his methodology based on the current market.

1. Price-to-book (P/B) ratio (also known as Net Asset Value and Net Tangible Assets) of less than 1.5.

2. Earnings per share (EPS) should have grown by 33% in the past 10 years.

3. The price-to-earnings (ttm) ratio should be below 15.

4. The current ratio should be below 1.5.

5. The company should pay out a dividend.

6. Price of the stock divided by the P/B should less than 1.2.

Based on a screen with these metrics, FI came up with 15 stocks you should look at. But, as Ryan mentions, this is not an endorsement to buy, but rather a good way to narrow down your research.

# Everest Re Grp Lt. (NYSE: RE)

# Nationwide Fin Sv (NYSE: NFS)

# Ashland Inc. (NYSE: ASH)

# Omnicare Inc. (NYSE: OCR)

# Protective Life (NYSE: PL)

# Odyssey Re Holdings (NYSE: ORH)

# Industrios Bachoc (NYSE: IBA)

# Ares Capital Corp. (NasdaqGS: ARCC)

# Kelly Svcs (NasdaqGS: KELYA)

# Encore Wire (NasdaqGS: WIRE)

# Agilysis Inc. (NasdaqGS: AGYS)

# One Liberty Group (NYSE: OLP)

# Nymagic Inc. (NYSE: NYM)

# L.S. Starrett Co. (NYSE: SCX)

# Ecology Environment Inc. (AMEX: EEI)

Authored by, YoungWarren
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