{"product_id":"the-intelligent-investor","title":"The Intelligent Investor","description":"\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal;\"\u003e\u003cspan style=\"font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eWhile Graham's formulas for calculating intrinsic value can get technical, his most famous \"Net-Net\" strategy is a masterclass in conservative logic. A \u003cb\u003eNet-Net\u003c\/b\u003e is a company trading at a market price lower than its \u003cb\u003eNet Current Asset Value (NCAV)\u003c\/b\u003e.\u003c\/span\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal; mso-outline-level: 3;\"\u003e\u003cb\u003e\u003cspan style=\"font-size: 13.5pt; font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eThe Formula\u003c\/span\u003e\u003c\/b\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal;\"\u003e\u003cspan style=\"font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eTo find the NCAV, Graham used this calculation:\u003c\/span\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"margin-bottom: 0cm; line-height: normal;\"\u003e\u003cspan style=\"font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eNCAV = {Current Assets} - {Total Liabilities} + {Preferred Stock}\u003c\/span\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal;\"\u003e\u003cspan style=\"font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eThe \"Intelligent\" part of this strategy is the \u003cb\u003eMargin of Safety\u003c\/b\u003e: Graham typically looked for stocks trading at \u003cb\u003etwo-thirds (66%)\u003c\/b\u003e or less of their NCAV.\u003c\/span\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal; mso-outline-level: 3;\"\u003e\u003cb\u003e\u003cspan style=\"font-size: 13.5pt; font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eWhy It Works\u003c\/span\u003e\u003c\/b\u003e\u003c\/p\u003e\n\u003cp class=\"MsoNormal\" style=\"mso-margin-top-alt: auto; mso-margin-bottom-alt: auto; line-height: normal;\"\u003e\u003cspan style=\"font-family: 'Calibri',sans-serif; mso-fareast-font-family: 'Times New Roman'; mso-font-kerning: 0pt; mso-ligatures: none;\"\u003eBy ignoring \"fixed assets\" like buildings or machinery (which are hard to sell) and focusing only on \"liquid\" assets (cash and inventory), you are essentially buying a business for less than the cash it would generate if it closed down tomorrow. It is the ultimate \"bargain hunter\" approach, ensuring that even if the business fails to grow, your investment is backed by cold, hard assets.\u003c\/span\u003e\u003c\/p\u003e","brand":"Fireflies","offers":[{"title":"Default Title","offer_id":46211669688519,"sku":null,"price":340.0,"currency_code":"PKR","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0765\/3343\/2519\/files\/TheIntelligentInvestorinvesting.webp?v=1771692691","url":"https:\/\/fireflies.pk\/products\/the-intelligent-investor","provider":"Fireflies","version":"1.0","type":"link"}