Negative EV is a stock strategy seeking cheap stocks which are selling at a price lower than their estimated liquidation value.
Negative EV stocks are those stocks that have huge cash hoard, even higher than their equity plus debt. Such companies are rare. Nevertheless, a basket of Negative EV stocks can deliver astronomical returns, similar to investing in net-nets.
The screeners below list Negative EV stock candidates. Unlike the strategies on this website, Negative EV stocks cannot be bought mechanically, based on a quantitative algorithm alone. These screeners serve as a starting point for investors, who should continue and explore the unique situation of each candidate company and consider qualitative investing aspects as well.
However, these screeners are a HUGE time saver.
Negative EV Stock Screener
Price and valuation multiples are updated in 20min delay.
Last update date - see rightmost column
The Terms in the table are defined in the Glossary.
How To Use The Screener:
The screener is sorted for EV - The lower the better.
The screener presents NCAV (Net Cash Asset Value) and Net Cash metrics as measures of the cheapness of the stocks.
NCAV (% of MV) – Calculated as Net Current Asset Value / Market Cap. Net Current Asset Value = Current Assets – Total Liabilities – Preferred Equity.
NCAV % y-o–py – The % change in NCAV from the previous year to today.
Net Cash (% of MV) – Calculates Net Cash / Market Cap. Net Cash = Cash & Equivalents – Total Liabilities – Preferred Equity.
Use the slides above the table to tweak the screener according to your preferences:
The Market Cap Slider can be used to restrict the screener to small caps (for higher returns) or large caps (for lower volatility). We recommend individual investors to keep the market cap un-restricted for the best overall results.
The Avg. Daily Volume Slider can be used to restrict the screener to stocks with ample liquidity, per your preferences.
The FS_Score slider can be used to restrict the screener to the high-quality or low-quality stocks, based on the modified piotroski's FS_Score.
To assist you with gaining insights on the stocks, we've included various Value & Quality attributes. The Value attributes are highlighted in Blue and the Quality attributes - in purple.
Each column can be sorted by clicking on its title.
Learn More About Negative EV:
Read more about our Negative EV screener and its performance in our white paper: Spotlight on Negative EV.
Also, check out Additional Resources from across the web: