Modern value investors continue to look for all of the following practices from Benjamin Graham, EXCEPT?

Modern value investors are heavily influenced by the principles established by Benjamin Graham, who is often referred to as the father of value investing. His emphasis was on purchasing securities that appear undervalued based on their intrinsic value.

In this context, high price-to-earnings (P/E) ratios, low price-to-book (P/B) ratios, and strong financial statement analysis align with value investing practices. Low P/B ratios are particularly favored because they indicate that a stock may be undervalued; Graham suggested looking for companies whose market value is less than the net asset value of their equity. Similarly, analysts assess financial statements thoroughly to ascertain a company’s financial health, focusing on metrics that indicate resilience and growth.

On the other hand, high P/S (price-to-sales) ratios do not fit into Graham's value investing philosophy, which seeks investments at a discount compared to their inherent value. High P/S ratios typically suggest an overvaluation relative to sales, which does not align with the fundamental principle of finding bargains in the market. This is why investors guided by Graham's strategies would not be pursuing high P/S ratios as part of their investment criteria.