What is 'Net Current Asset Value Per Share  NCAVPS'
A value created by professor Benjamin Graham in the midtwentieth century to determine if a company was trading at a fair market price. NCAVPS is calculated by taking a company's current assets and subtracting the total liabilities, and then dividing the result by the total number of shares outstanding.
NCAVPS: (Current Assets Total Liabilities)
# Shares Outstanding
BREAKING DOWN 'Net Current Asset Value Per Share  NCAVPS'
According to Graham, investors will benefit greatly if they invest in companies where the stock prices are no more than 67% of their NCAV per share. A study done by the State University of New York to prove the effectiveness of this strategy showed that from the period of 1970 to 1983 an investor could have earned an average return of 29.4%, by purchasing stocks that fulfilled Graham's requirement and holding them for one year.
However, Graham did make it clear that not all stocks chosen in this manner will have excessive returns, and that investors should also diversify their holdings when using this strategy.

Graham Number
A figure that measures a stock's fundamental value by taking ... 
Benjamin Method
The investment approach that aims to follow the strategies implemented ... 
Asset Value Per Share
The total value of a fund's investments divided by its number ... 
Benjamin Graham
A scholar and financial analyst who is widely recognized as the ... 
Mr. Market
An imaginary investor devised by Benjamin Graham and introduced ... 
Outstanding Shares
A company's stock currently held by all its shareholders, including ...

ETFs & Mutual Funds
The 3 Most Timeless Investment Principles
Benjamin Graham pioneered cutting edge concepts that propelled other top investors to fame. 
Markets
Ben Graham's Advice on Reading Financial Statements
Seven pieces of advice from Benjamin Graham on understanding financial statements. 
Managing Wealth
The Intelligent Investor: Benjamin Graham
Learn about the man who mentored Warren Buffett, who eventually became the investing "Oracle of Omaha". 
Insights
3 Differences Between Benjamin Graham and Warren Buffett
Analyze three key differences between Warren Buffett and Benjamin Graham. Learn how value investing principles were applied differently by each investor. 
Trading
Take On Risk With A Margin of Safety
More common risk theories can lead to missed opportunities. Find out how margin of safety can propel your portfolio. 
Investing
6 Basic Financial Ratios And What They Reveal
Here's a brief introduction to six financial ratios every investor should be familiar with. 
Investing
5 Great Investors Who Aren't Warren Buffett
Here are five other investors, not named Warren Buffett, that are also considered to be the best of the best in the industry. 
Markets
2 Stocks Below Net Currrent Asset Value (GEOS, TWMC)
Investing in net current asset bargains is not easy but it can be very profitable 
Trading
Top 5 AllTime Best Mutual Fund Managers
The best managers produced longterm, marketbeating returns and helped investors build big nest eggs. Find out who made the cut. 
Investing
What's A Company’s Worth, And Who Determines Its Stock Price?
A company’s worth is the same as its market capitalization. Market capitalization is stock price multiplied by number of outstanding shares.

How did Warren Buffett's investing style conflict with Benjamin Graham's theories ...
Find out how Warren Buffett's value investing style contrasts with that of his mentor, Benjamin Graham, by relying on quality ... Read Answer >> 
How do you calculate company equity?
Find out more about company equity, or shareholders' equity, what company equity measures and how to calculate a company's ... Read Answer >> 
What is the weighted average of outstanding shares? How is it calculated?
The amount of shares outstanding in a company will often change due to a company issuing new shares, repurchasing and retiring ... Read Answer >> 
What is the difference between authorized shares and outstanding shares?
Calculating financial ratios can help investors understand a company's financial position, but only when a knowledge of various ... Read Answer >> 
How do I use Excel to calculate the book value per common share?
Learn the basics of book value per common share, how it is used to assess the value of a stock and how to calculate this ... Read Answer >> 
Why would I need to know how many outstanding shares the shareholders have?
Find out why shareholders should know how many outstanding shares have been issued by a corporation, and learn what happens ... Read Answer >>