Owner: Value Investing URL:http://investingdaily.blogspot.com Join Date: Wed, 27 Feb 2008 23:57:20 -0600 Rating:0 Site Description: A blog focused on value investing as defined by Graham, the father of value investing. Includes educational articles, stock picks, and stock market news. Site statistics:Click here
Updated NCAV List 2008-03-04 09:44:00 After the most recent declines many stocks have been added to the list of NCAV stocks. This list has been pruned down but you can see for the entire list.BZHHDLMSNWCITAITTWMCCRCCRVFORDHOVPMRYISSI
NCAV List 2008-02-27 18:23:00 Here is a list of stocks that are currently trading under NCAV according to I've taken out the companies that do not have sufficient financial strength to be considered good investments. See NCAV for more information on the NVAC strategy. These are not necessarily recommendations but instead ideas for you to explore in greater detail.BZHHDLMSN- questionable financial strength but worth looking atWCITWMCOHB- be careful with this oneFORDCRVFINLZAP-bad earnings history though
Net Current Asset Value (NCAV) 2008-02-26 22:44:00 Over 50 years ago Benjamin Graham, the father of value investing, began to utilized a measurement of a companies worth known as net current asset value. NCAV is value investing at its purest.You are probably familiar with the measurement known as book value which is total asset minus total liabilities. But NCAV is slightly different. NCAV equals the companies current assets minus its total liabilities. For example:OHB (Orleans Homebuilders) has the following items entered on its Q2 financial statements:CurrentAsset
s = 3463.34Total Liabilities = 2555.12Total Common Shares Outstanding = 39.21So the NCAV of OHB is 3463.34-2555.12 = 908.22This number can then be converted into the more useful NCAV per share by dividing the NCAV by total common shares outstanding. Therefore, the NCAV per share Read more:Value
Basic Stock Investing 3: How do you buy stocks? 2008-02-18 00:15:00 Now that you know what a stock is and a little bit about the different types of stocks you may be wondering how you can get started buying stocks. In order to buy stocks you have to set up an account with a brokerage. Brokerage accounts are very similar to your everyday bank account except they allow you to buy and sell stocks. In exchange for this capability you have to pay a fee, or commission, for each transaction made. Depending on your account provider this commission could be anywhere from $5 to $50 but for the majority of small investors $10 per trade is the most common. One discount broker that I would highly recommend is ShareBuilder. Read more:Basic
, Stock
, Investing
Basic Stock Investing 2: Different types of stocks 2008-02-17 12:27:00 You may be surprised to hear that there is more than one type of stock that a company might issue.Common Stock
Common stocks are the most common (naturally) type of stock investment. A common stock is a stock that gives it's owner certain voting rights in the company. Common stocks still have a claim to the company's assets and earnings as described in my last post, but the most common way to make money off of common stocks is to buy the stock at a lower price and sell it to someone else at a higher price. Common stocks have the highest average annual return out of all types
of investments, but they also have the highest risk. Because common stock holders have less of a claim to the company's assets than bondholders and preferred stock holders if a company goes into bankruptcy common stock Read more:Basic
, Investing
Basic Stock Investing 1: What is a stock? 2008-02-16 23:13:00 When a private company decides that it needs more capital for whatever reason, it may decide that the best way to raise this capital is through selling stock. This process of going public and selling shares is called an IPO or initial public offering. When an investor buys shares of stock that are being sold in an IPO the money that he spends buying the shares goes directly to the company which then can use it to fuel growth. In return for this capital contribution the investor is given partial ownership of the company. If a company issues 10,000 shares of stock in its IPO and you buy 1,000 shares of it, then you have a 10% ownership in the corporation. As an owner you are entitled to part of the corporation’s earnings, which are usually paid out by the company to its shareholders throug Read more:Basic
, Investing
Saks: Strong Buy 2008-02-16 00:32:00 While the retail industry as a whole has been suffering as a result of decreased consumer spending Saks has pulled off quite a turnaround. The decrease of the dollar against most other major currencies has been a major factor in this turnaround. A weaker dollar allows wealthy foreigners to come to the US and shop at our stores at a significant discount. The result is 11.7 percent same-store sales growth for 2007. There is also the possibility of a buyout of Saks by Baugur Group which is an international investment company which focuses on retail investments. Most calculations put the potential bid at about $23 dollars per share. Another important factor affecting the price of this stock is heavy short interest. In other words a lot of people are betting that this stock will go down. This i Read more:Strong