I don't think you understand too much about investing. If a company is selling around book value, its most likely a utility or a bank or a troubled company. Solid companies sell well above book value. Take a look at the price of any good company compared to their book value. Just one example is Apple (AAPL). They're trading at $95.00 with a book value of $19.92. If you're investing only in companies close to book value, you're buying stocks for the dividend or buying junk.