To have a higher chance to uncover high-quality companies, Benjamin Graham, the pioneer of value investing, suggested choosing stocks with a current ratio of more than two and higher working capital than long-term debt.

These two metrics indicate whether the company can generate enough financial resources to support the business and reimburse both short-term and long-term lenders.

The current ratio is calculated by dividing total current assets by total current liabilities, while the working capital is the difference between total current assets and total current liabilities.

Atrion Corp

Atrion Corp (ATRI) is an Allen, Texas-based global manufacturer and seller of

Durable competitive edges often come from intangible assets. A superior reputation is one type of them. A highly-reputed product or service is especially effective in guarding the business against competition when it comes to the mission-critical application with zero or little error tolerance.

Take a look at Intuitive Surgical Inc. (ISRG), the pioneer and leader in robotic-assisted surgery. The company is well-known for successfully transforming its first-mover advantage into a last-mover power thanks to its reputation earned from over 6 million procedures already performed and more than 18,000 peer-reviewed scientific publications regarding its da Vinci system. Thus, the barrier for

Texas-based Atrion Corporation (ATRI) engages in developing and manufacturing products for niche markets, mainly in the health care and medical industry.

Despite being a small-cap stock (approximately $1.34 billion market cap as of Jan. 28th, 2020), the business owns a diversified portfolio of market-leading products in the respective niches, including soft contact lens disinfection cases, clamps for IV sets, cardiac surgery vacuum relief valves, minimally invasive surgical tapes and valves and inflation devices used in marine and aviation safety products. Notably, the company’s proprietary technology, MPS2 Myocardial Protection System, is the only system used in open-heart surgery that delivers to

According to the GuruFocus All-In-One Screener as of Friday, the following health care stocks are popular among gurus.

National Research Corp. (NRC) is held by three gurus

The company, which operates in the medical diagnostics and research industry, has a market cap of $1.54 billion. Its revenue of $123.55 million has fallen 6.80% over a 10-year period.

The stock is trading with a price-book ratio of 48.16. The share price of $61.73 is 10.35% below the 52-week high and 73.50% above the 52-week low. Over the last 10 years, it has returned 208.65%.

According to the GuruFocus All-in-One Screener, the following stocks have outperformed the Standard & Poor's 500 Index over the last 12 months.

NVR Inc. (NVR) has a market cap of $12.25 billion. It has outperformed the S&P 500 by 5.37% over the past year.

Shares are trading with a price-earnings ratio of 16.73. According to the discounted cash flow calculator, the stock is undervalued with a 41% margin of safety at $3,408. The price is currently 64.07% above its 52-week low and 4.04% below its 52-week high.

The homebuilder has a profitability and growth

According to the GuruFocus All-in-One Screener, the following stocks have outperformed the Standard & Poor's 500 Index over the past 12 months and were bought by gurus during the fourth quarter.

Cable One Inc. (CABO) has a market cap of $5.36 billion. It has outperformed the S&P 500 by 33.20% over the past 12 months.

Shares are trading with a price-book ratio of 6.91. According to the discounted cash flow calculator, the stock is overpriced by 206% at $940 per share. The price is currently 57.77% above its 52-week low and 2.8% below its

According to the GuruFocus All-In-One Screener, the following health care stocks are popular among gurus.

Atrion Corp. (ATRI) is held by three gurus

The medical devices provider has a market cap of $1.51 billion. Its revenue of $152.45 million has grown 6% over a 10-year period.

The stock is trading with a price-earnings ratio of 44.19. The current price of $814.57 is 0.05% below its 52-week high and 45.29% above its 52-week low. Over the last 10 years, it has returned a gain of 858%.

The company’s largest shareholder among the gurus is Jim Simons' (Trades,