Based on Benjamin Graham's a defensive investor must limit to companies that meet these 7 rigorous criteria:
* **Adequate Size:** Large, prominent companies (avoid small companies, which are more vulnerable).
* **Strong Financial Condition:** For industrial companies, current assets should be at least 1.5 to 2 times current liabilities. Long-term debt should not exceed net working capital.
* **Earnings Stability:** The company must have had continuous positive earnings for the past 10 years.
* **Dividend Record:** It must have paid uninterrupted dividends for at least the past 20 years.
* **Earnings Growth:** A minimum increase of one-third in earnings per share over the past 10 years.
* **Moderate Price-to-Earnings (P/E) Ratio:** The stock price should be no more than 15 times the average earnings of the last 3 years.
* **Moderate Price-to-Book (P/B) Ratio:** The price should not exceed 1.5 times the book value of the company.
Do you still apply these 7 criteria in 2026? Or has anything change?