Benjamin Graham
Solvency first, and a published number for every test.
| Measure | Formula | Median | Middle half | Reporting it | Published threshold | Companies clearing it |
|---|---|---|---|---|---|---|
| Current ratio | Current assets ÷ current liabilities | 1.25x | 0.89x – 1.79x | 446 | 2.00x | 94 of 446 |
| Long-term debt to working capital | Long-term debt ÷ (current assets − current liabilities) | 2.30x | 0.93x – 6.84x | 258 | 1.00x | 70 of 258 |
| Positive earnings, ten years running | Needs ten years of filings | — | — | — | — | — |
Where each comes from
| Current ratio | The first solvency test: current assets at least twice current liabilities. |
|---|---|
| Long-term debt to working capital | The second: long-term debt no greater than working capital, which is this ratio at or below one. |
| Positive earnings, ten years running | Graham's fourth defensive criterion, and the only one of his that needs a decade: some earnings in every one of the past ten years. A single loss year fails it. |
Source: The Intelligent Investor, chapter 14, “Stock Selection for the Defensive Investor”.
What this cannot tell you
Twenty years of uninterrupted dividends is a longer record than this site holds, and his price/earnings under 15 and price/book under 1.5 both need a price — the box on any company page computes those against the figures from the filing.
This page describes a published method and applies its measures to filings. It is not a score, not a ranking and not a recommendation, and no page here aggregates these into a verdict. · All 11 metrics