Legendary value investors' secrets
November 21, 2024
Net-net value investing is a term derived from one of Benjamin Graham’s investment strategies. It is a technique valuing a company’s stock based on its net current assets per share (NCAVPS). In his book, The Intelligent Investor, under the chapter “Stock Selection for the Enterprising Investor”, the father of value investing talked about net-current-asset or bargain issues….
Read More about What is net-net?In value investing, a term often cited is the Graham Number. The term is named after Benjamim Graham (1894-1976), the father of value investor and the author of The Intelligent Investor, from which the Graham Number came about. In the chapter on Stock Selection for the Defensive Investor, he listed seven quality and quantity criteria…
Read More about Graham Number explained“Fear is the foe of the faddist, but the friend of the fundamentalist.” – Warren Buffett So the global stock markets, led by the US, are plunging. On August 1 and 2, 2024, Wall Street took a big hit. On August 2 (Friday itself), the Dow Jones Industrial Average dived some 610 points, or 1.5…
Read More about Stock markets plunging? Should you panic?“Investment is most intelligent when it is most businesslike,” Benjamin Graham said in his book The Intelligent Investor. “If a person sets out to make profits from security purchases and sales, he is embarking on a business venture of his own, which must be run in accordance with accepted business principles if it is to…
Read More about Investment: Four Benjamin Graham business principles7 Secrets to Investing Like Warren Buffett was coauthored by Mary Buffett and Sean Seah. Mary Buffett is the former daughter-in-law of legendary investor Warren Buffett, the chairman of Berkshire Hathaway. Mary Buffet has coauthored many books with David Clark, the first being Buffettology. Sean Seah was born, educated and lives in Singapore. A strong…
Read More about 7 Secrets to investing like Warren BuffettIn his book, The Intelligent Investor, Benjamin Graham suggested seven quality and quantitative criteria for the selection of common stocks for a defensive investor’s portfolio. The seven suggested criteria are: Let’s zoom in on criteria (6) and (7) above. Moderate ratio of price to assets: Current price of stock should be no more than 1.5…
Read More about Stock selection for defensive investors: seven criteria“An investment operation is one which, upon thorough analysis promises safety of principal and an adequate return. Operations not meeting these requirements are speculative.” – Benjamin Graham (The Intelligent Investor) Giving his thoughts on Investment versus Speculation in his opening chapter in The Intelligent Investor, Benjamin Graham, the father of value investing, said: “Outright speculation…
Read More about Investment vs SpeculationLegendary value investor Warren Buffett is still dismissive of bitcoin as an investment. He laid out his latest thinking on the cryptocurrency in a recent interview with Yahoo Finance (Warren Buffett on buying bitcoin: ‘That is not investing’, April 28, 2018). “If you buy something like a farm, an apartment house, or an interest in…
Read More about Why Warren Buffett steers clear of bitcoinBenjamin Graham (1894-1976), the father of value investing, said in his widely-followed book, The Intelligent Investor, that one choice for the defensive investor in stock selection would be to apply a set of standards to each purchase, to make sure that he obtains (i) a minimum of quality in the past performance and current financial…
Read More about Stock selection for the defensive investor“To invest successfully over a lifetime does not require a stratospheric IQ, unusual business insights, or inside information. What is needed is a sound intellectual framework for making decisions and the ability to keep emotions from corroding that framework.” These words came from legendary investor Warren Buffett, the best known disciple of Benjamin Graham, the…
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