Graham net-net screen

A net-net is Benjamin Graham's deepest bargain: a company whose market value is less than its net current asset value — cash, receivables and inventory, less every liability the company has, long-term debt included. Buying one means paying less than what would be left if the business sold its current assets and settled its debts, and getting the rest of the business for nothing. Graham bought them below two-thirds of that value, to leave a margin of safety.

This screen applies his two-thirds rule: net current asset value must be more than one and a half times the company's market value, and positive. Companies worth less than $25 million are left out, since their prices are the least reliable. Net-nets are rare, often small and often troubled — the market usually has a reason — and a handful of names, or none, is a normal result. The companies are ordered by how far below that value they trade.