Which are the top stocks in India that pass the Benjamin Graham filter?
As per Equitymaster's Stock Screener, these stocks could potentially meet Benjamin Graham t's investing criteria.
Benjamin Graham was a veteran investor that advocated value investing to the world. Investors are inspired by Graham's ability to pick winning stocks that deliver long-term returns.
Who is Benjamin Graham?
Benjamin Graham is a British-American investor, economist and author. He came to prominence in 1934, with the publication of his textbook Security Analysis, which he co-wrote with David Dodd.
Graham is credited with inventing the strategy of value investing using fundamental analysis, wherein investors analyze stock data to find assets that have been systematically undervalued.
Legendary value investor, Warren Buffet credits Benjamin Graham as his teacher. Warren Buffet was one of his students at Columbia University. After graduation, Buffett worked for Graham's company, Graham-Newman Corporation, until Graham retired.
Buffett has written that Graham's books and teachings "became the bedrock upon which all of my investment and business decisions have been built."
Here's a list of Indian stocks that could qualify per Warren Buffett's criteria...
What is the Benjamin Graham style of investing?
Benjamin Graham believed in value investing. Value investing is an investment approach that allows one to profit from undervalued stocks. It is based on the idea that each stock has an intrinsic value, i.e. what it is truly worth.
He focused on long-term investment in companies based on fundamental analysis of financial ratios and rejected short-term speculation.
Graham insisted that investing in a stock is like owning a business. If you are the owner of a business, you shouldn't care what the market thinks about its worth, as long as you have solid evidence that the business is or will be sufficiently profitable.
Which are the books written by Benjamin Graham?
Benjamin Graham wrote several books on investing. However, his book 'The Intelligent Investor' is still considered a value investing bible and is perhaps one of the largest selling books on investing.
Here is a list of books by Benjamin Graham -
- Security Analysis
- The Intelligent Investor
- Storage and Stability
- The Interpretation of Financial Statements
- World Commodities and World Currency