Investing Guide

With this current investment environment, there are still some stocks with negative enterprise values.   Enterprise value is market cap = total debt - excess cash.  I’m currently looking at QLTI, FACT, TRID, TSCM.

He is an article on negative enterprise value.  http://www.covestor.com/mbr/jjun0366/blog/29812.   The returns has been impressive.  I think negative enterprise value stocks give investors a margin of safety, especially when a firm has a lot of cash.

Disclaimer:  I am long TRID.

This is the next stock on my buy list.  Its business is a mix of medical insurance and brokerage and investment services.  The company is a very low beta of .30.  I think this holding is good for people who not like a lot of volatility.   As of 1Q 2009, it has grown its eps by 45% from a year earlier.  At 7 times earnings, 1 times book value and with with no long term debt, this company has a lot of upside and with less risk.