We continue with our summary of it and discuss Chapter 14 – Stock Selection For the Defensive Investor where Graham gives 7 indicators to statistically approach investing that anyone can follow.
The criteria are the following:
Third Point's Dan Loeb discusses their new positions in a letter to investor reviewed by ValueWalk. Stay tuned for more coverage. Loeb notes some new purchases as follows: Third Point’s investment in Grab is an excellent example of our ability to “lifecycle invest” by being a thought and financial partner from growth capital stages to Read More
- Adequate size
- Strong finances
- 20 years of dividends
- No earnings losses in the past 10 years
- 33% 10 year earnings growth
- Price to book not above 1.5
- Price to earnings not above 15
Enjoy the video where I discuss the above in more detail and explain how and why Graham approaches the above.