Bargain issues, also known as undervalued stocks, are securities that are trading below their intrinsic value. Graham sees bargain issues as opportunities, especially for the enterprising investor.

A bear market refers to a market characterized by falling prices and investor pessimism. Unlike many investors, Graham sees bear markets as an opportunity for the intelligent investor to find undervalued stocks and potentially generate higher returns in the long run.

Book value refers to the net worth of a company or its assets minus its liabilities. Book value is often used as an indicator of the intrinsic value of a company.