Course 506: Great Investors: Benjamin Graham
Choose Companies That Are in Good Financial Shape
In this course
1 Introduction
2 Seek a Margin of Safety
3 Favor Big Companies with Strong Sales
4 Seek Dividends
5 Choose Companies That Are in Good Financial Shape
6 Look for Companies with Sustainable Earnings Growth
7 Pay Attention to Price Multiples

Graham looked for what people today refer to as "net-nets," or companies whose current assets exceed the sum of current and long-term debt. Graham was always mindful of liquidity. His thinking was that companies with ample liquidity (access to cash) were less risky because their assets could always be sold to raise cash.

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