Value Investor Blog

NNWC Update

Posted in Application, Uncategorized by aaronstackhouse on November 11, 2009

A few months back I posted a list of stocks that were trading below their NNWC value per share (as of 7/17/09). Let’s take a quick look to see how those stocks have performed over the last several months.

NNWC return list thru Nov 10

The mean return during the period 7/17/09 to 11/10/09 was 28.3%, compared with a return on the S&P 500 of 16.2% for the same period. Since all of the stocks in the NNWC list have small market caps, I have also included the return on the S&P Smallcap 600 (12.6%).

More interesting is the variance of the individual stock returns about the mean.

NNWC Return thru Nov 10

The blue dots show the returns on the individual stocks from the NNWC list compared to the S&P 500 (red line). Notice how many of the returns are clustered near the S&P 500 line but that there are several outliers to the positive side.

Over the next several weeks I am going to look more closely at some of the individual stocks – both the ones that have done very well and those that are still trading below NNWC/share – to see if we can find some interesting opportunities.

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