Stocks trading below net cash?

Discussion in 'Stocks' started by betapro, Jan 12, 2008.

  1. betapro

    betapro

    I'm looking for stocks that are trading below their cash (net of debt) value.

    Anyone have any recommendations? Thanks.
     
  2. alex7

    alex7

  3. i dont know much about stocks but wouldnt this be a nobrain buy back at least to book value?
     
  4. Book value means nothing
     
  5. There are lots of companies with cash greater than their debt, or even greater than all their liabilities: I count about 2,000 currently. If you get yourself a screener, you should be able to find some with whatever other characteristics you like.

    As some extreme examples, here are a few companies that have more cash, net of all liabilities, than their entire market capitalizations: AMCE, SWWI, ETLT, OPBL, RGRP, EDEN, NCEH, KDUS. Those are not recommendations, just examples: in most of these cases, the company is a blank check or a shell, or the cash is restricted in some fashion, or the company is losing money hand over fist, or some combination of the above. And those are all, or almost all, teensy tiny companies with illiquid stocks. So caveat emptor, and as always tread carefully.