Five ‘Below Book’ Stocks Look Ready to Rebound: John Dorfman
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A time-honored method of detecting cheap stocks is to look for ones that sell below book value.
Book value is a company’s net worth, or assets minus liabilities. Divide total book value by the number of shares outstanding, and you get the company’s book value per share, often called simply “book.” About 6 percent of U.S. stocks now trade below book.