A conservative liquidation-based valuation — net of all liabilities from current assets, divided by shares. If NCVPS > market price, the stock trades below liquidation value.
Formula: (Current Assets − Total Liabilities) / Shares Outstanding
How to read it: If NCVPS > Market Price, the stock trades below Ben Graham's net-net threshold — historically a deep value signal. These opportunities are rare in large caps but occasionally appear in small/micro caps.
Inspired by Benjamin Graham's "net-net" criterion: buy stocks trading below net current asset value (NCAV). Graham considered this the most reliable margin of safety. Warren Buffett used this extensively in the 1950s.