Benjamin Graham's Philosophy

Benjamin Graham is known as the "Father of Value Investing." His 1949 book "The Intelligent Investor" is considered the bible of investing and was Warren Buffett's primary education.

Key Principles

  • Mr. Market: The market is irrational - exploit its mood swings
  • Margin of Safety: Only buy when price is below intrinsic value
  • Quantitative Analysis: Focus on hard numbers, not stories
  • Defensive Investing: Protect capital first, grow it second
  • Diversification: Don't put all eggs in one basket

💡 Did You Know?

Graham taught Warren Buffett at Columbia Business School. Buffett says reading Graham's book was like "seeing the world in color for the first time."

Screener Criteria

P/E Ratio
< 15
Earnings multiple
P/B Ratio
< 1.5
Price to book value
Dividend Yield
> 3%
Income component
Current Ratio
> 2
Liquidity measure
Debt/Equity
< 1
Conservative leverage

Example Results

Companies matching Graham's criteria (for educational purposes only)

📚 Educational Data Updated: Delayed data for learning purposes
Company Ticker P/E P/B Yield Current Margin
Bank of America
Banking
BAC 12.4 1.1 2.9% 2.4 High
Walgreens
Pharmacy retail
WBA 8.2 1.2 4.8% 2.8 High
Verizon
Telecommunications
VZ 9.1 1.8 6.7% 2.1 Moderate