A value investor with a deep-value orientation focuses on undervalued companies that are available at extremely low valuation relative to their assets. For example, if a company’s valuation is much lower than its book/accounting value. Such companies are often those in financial distress. The rationale is that market interest in such securities may be limited, increasing the chance of informational inefficiencies. The deep-value investor’s special area of expertise may lie in reorganizations or related legislation, providing a better position from which to assess the likelihood of company recovery.