This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

10 Stocks Legendary Value Investor Benjamin Graham Would Buy Now

NEW YORK (TheStreet) -- Out of the multitude of companies, which ones would legendary value investor Benjamin Graham buy today?

We've compiled ten great companies that fit the ModernGraham criteria, based on Benjamin Graham's methods. The companies in this list pass our rigorous requirements and are undervalued by the market. (To find more companies that meet these tests, be sure to check out the ModernGraham Valuation Index, a list of all companies we cover.)

Here's a slideshow of outstanding companies that Benjamin Graham would buy today!

1.  Apple (AAPL)

Apple is an excellent company for enterprising investors -- research-oriented investors willing to take a bit of risk. The stock only fails one screen: the current ratio requirement. The company does not qualify for the more conservative defensive investor, due to its low current ratio, lack of a sufficiently long dividend record and high price-to-book ratio.

Enterprising investors should feel very comfortable proceeding with further research into the company and its competitors, including Microsoft (MSFT) and Google (GOOG) (GOOGL).

As for valuation, Apple appears to be significantly undervalued. It has grown its EPSmg (our own take on normalized earnings) from $9.22 to an estimated $37.86 for 2014, a growth rate that far outpaces the market's implied estimate of only 4.14% earnings growth. We return an estimate of intrinsic value that is much higher than the market price.

The stock is simply a good deal.

1 of 10

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
VIAB $41.98 2.00%
INTC $29.86 0.03%
JPM $61.68 0.18%
AAPL $93.10 -0.56%
FB $118.16 0.08%


Chart of I:DJI
DOW 17,690.09 +38.83 0.22%
S&P 500 2,057.30 +6.18 0.30%
NASDAQ 4,732.1250 +6.4860 0.14%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs