Q: How Many Stocks Trade for Below Book Value? A: 12%

March 11, 2015
By Knowledge Leaders Team in Markets

Surprising as it may seem, only 12% of stocks in the MSCI World Index trade for less than 1x book value. This is compared to more than 30% in 2012 and nearly 50% in 2009. How the times have changed!

In the second chart below we show the percent of companies in the MSCI World trading for under 5x cash flow. The current reading of 6% compares to nearly 50% in 2009.



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