IDEAS home Printed from https://ideas.repec.org/a/jfr/ijfr11/v7y2016i1p50-56.html
   My bibliography  Save this article

An Assessment on Graham¡¯s Approach for Stock Selection: The Case of Turkey

Author

Listed:
  • Nuray Terzi

Abstract

Graham¡¯s approach is widely discussed by individual investors, portfolio managers and academicians in these days. Graham¡¯s approach has very simple formula to evaluate the company¡¯s intrinsic value. The fundamental idea behind the concept is the opinion that companies have an intrinsic value which the markets don¡¯t necessary reflect in their stock prices. Intrinsic value is defined by a company¡¯s asset, dividend, earning and financial ability. To focus on this value can hinder an investor from wrong decision especially, uncertainty times. In this perspective, this study aims to investigate the performance of stock selection criteria of Benjamin Graham on Istanbul Stock Exchange for the period from 2005 to 2014. The results showed that an investors who used Benjamin Graham¡¯s criteria, would have achieved better results than that of the BIST-100 in between 2005 and 2014, excluded crisis period. Further research can be conducted with different criteria in other developing countries.

Suggested Citation

  • Nuray Terzi, 2016. "An Assessment on Graham¡¯s Approach for Stock Selection: The Case of Turkey," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 7(1), pages 50-56, January.
    • Handle: RePEc:jfr:ijfr11:v:7:y:2016:i:1:p:50-56
    DOI: 10.5430/ijfr.v7n1p50
    as

    Download full text from publisher

    File URL: http://www.sciedu.ca/journal/index.php/ijfr/article/view/8438/5078
    Download Restriction: no
    File URL: http://www.sciedu.ca/journal/index.php/ijfr/article/view/8438
    Download Restriction: no
    File URL: https://libkey.io/10.5430/ijfr.v7n1p50?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jfr:ijfr11:v:7:y:2016:i:1:p:50-56. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Gina Perry (email available below). General contact details of provider: http://ijfr.sciedupress.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.