minimum volume?

Hello again,

I have a question regarding volume. So I've noticed that recently a lot of the Enterprising and NCAV stocks on the screener have relatively low volume (most less that 200k per day). I was wondering if graham ever had a minimum volume threshold? or did volume never matter to him as long as the fundamentals were sound?

Submitted by gonny17. Created on Friday 9th October 2020. Updated on Friday 9th October 2020.

Submitted by GrahamValue on Friday 9th October 2020

Dear gonny17,

Thank you for your forum post!

There appear to be no recommendations on Trading Volume requirements in Graham's writings on stock selection.

Buffett has occasionally remarked on the irrelevance of Trading Volume with statements such as "Only buy something that you'd be perfectly happy to hold if the market shut down for 10 years", and:

"I always find it extraordinary that so many studies are made of price and volume behavior, the stuff of chartists........ It isn’t necessarily because such studies have any utility; it’s simply that the data are there and academicians have worked hard to learn the mathematical skills needed to manipulate them."
Warren Buffett, Columbia Business School: The Superinvestors of Graham-and-Doddsville (1984).