Thursday, October 22, 2009

The Best Dow Stocks by Book Value

Think the Dow Jones Industrial Average is overpriced? There are actually ten Dow stocks selling close to book value. As a matter of fact, several of these stocks are trading close to their cash per share. Here they are along with their Book Value, the Price Book Ratio, and the Cash Per Share.

Company Name, Symbol, Book Value, Price Book Ratio, Cash Per Share
BANK OF AMERICA (BAC) 22.71   0.72   63.59
THE TRAVELERS (TRV) 47.29   1.01   11.92
JP MORGAN CHASE (JPM) 39.12   1.14   171.66
GEN ELECTRIC (GE) 11.04   1.40   10.72
WALT DISNEY (DIS) 18.84   1.551   1.68
AT&T (T) 16.71   1.55   1.24
KRAFT FOODS (KFT) 16.47   1.66   1.17
CHEVRON (CVX) 43.85   1.75   3.66
PFIZER (PFE) 9.33   1.86   7.35
VERIZON COMMUN. (VZ) 15.02   1.93   0.41

Please note: the cash per share for some of the financials may be misleading due to the accounting treatment of customers' cash.

You can analyze the Dow Jones Industrial Average doing what-if's by downloading the analyzer at

Author owns DIS, T, PFE.


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