The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio
The aim of value investing is to identify stocks that are undervalued and which can be expected to produce an above average return in the future. And the message from the history of investing is clear: if you successfully pursue a value investing strategy over the long term, you will earn an above average return on your portfolio. The goal of The New Value Investing is to help you identify undervalued stocks and teach you how to build your own successful value investing portfolio.
Added to this, it is important to understand that value investing is inextricably linked with behavioral finance, and research advances in this area in recent years strengthen the case for value investing. The author explains how stock prices are determined by emotional crowds, how this leads to mispriced stocks and opportunities for the value investor, and how you can harness the insights of behavioral finance to improve your value investing approach.
As you work through this book, the author shows how to follow the path from analysis of the economy, to the industry, to company financial statements, to creating a value range for a company's stock. You will learn:
-- How to remove emotion from your investment process.
-- The essential elements of portfolio construction.
-- What a value investor should observe in the wider economy and the market.
-- Where to find investment ideas.
-- How to read a company's financial statements from a value investing perspective.
-- Dividend valuation, earnings valuation and other valuation techniques.
-- How to undertake a full valuation analysis, with two complete worked examples of stock valuation for real-life companies.
-- What professional value investors at investment funds analyse and how they make their decisions.
Value investing is within everyone's reach, so why doesn't everyone use it? The key is patience. The approach works over the long term if you stick with it and the result could be extra hundreds, thousands or millions in your portfolio at the end of your investment horizon.
1120880864
The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio
The aim of value investing is to identify stocks that are undervalued and which can be expected to produce an above average return in the future. And the message from the history of investing is clear: if you successfully pursue a value investing strategy over the long term, you will earn an above average return on your portfolio. The goal of The New Value Investing is to help you identify undervalued stocks and teach you how to build your own successful value investing portfolio.
Added to this, it is important to understand that value investing is inextricably linked with behavioral finance, and research advances in this area in recent years strengthen the case for value investing. The author explains how stock prices are determined by emotional crowds, how this leads to mispriced stocks and opportunities for the value investor, and how you can harness the insights of behavioral finance to improve your value investing approach.
As you work through this book, the author shows how to follow the path from analysis of the economy, to the industry, to company financial statements, to creating a value range for a company's stock. You will learn:
-- How to remove emotion from your investment process.
-- The essential elements of portfolio construction.
-- What a value investor should observe in the wider economy and the market.
-- Where to find investment ideas.
-- How to read a company's financial statements from a value investing perspective.
-- Dividend valuation, earnings valuation and other valuation techniques.
-- How to undertake a full valuation analysis, with two complete worked examples of stock valuation for real-life companies.
-- What professional value investors at investment funds analyse and how they make their decisions.
Value investing is within everyone's reach, so why doesn't everyone use it? The key is patience. The approach works over the long term if you stick with it and the result could be extra hundreds, thousands or millions in your portfolio at the end of your investment horizon.
37.75 Out Of Stock
The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio

The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio

by C. Thomas Howard
The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio

The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio

by C. Thomas Howard

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$37.75 
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Overview

The aim of value investing is to identify stocks that are undervalued and which can be expected to produce an above average return in the future. And the message from the history of investing is clear: if you successfully pursue a value investing strategy over the long term, you will earn an above average return on your portfolio. The goal of The New Value Investing is to help you identify undervalued stocks and teach you how to build your own successful value investing portfolio.
Added to this, it is important to understand that value investing is inextricably linked with behavioral finance, and research advances in this area in recent years strengthen the case for value investing. The author explains how stock prices are determined by emotional crowds, how this leads to mispriced stocks and opportunities for the value investor, and how you can harness the insights of behavioral finance to improve your value investing approach.
As you work through this book, the author shows how to follow the path from analysis of the economy, to the industry, to company financial statements, to creating a value range for a company's stock. You will learn:
-- How to remove emotion from your investment process.
-- The essential elements of portfolio construction.
-- What a value investor should observe in the wider economy and the market.
-- Where to find investment ideas.
-- How to read a company's financial statements from a value investing perspective.
-- Dividend valuation, earnings valuation and other valuation techniques.
-- How to undertake a full valuation analysis, with two complete worked examples of stock valuation for real-life companies.
-- What professional value investors at investment funds analyse and how they make their decisions.
Value investing is within everyone's reach, so why doesn't everyone use it? The key is patience. The approach works over the long term if you stick with it and the result could be extra hundreds, thousands or millions in your portfolio at the end of your investment horizon.

Product Details

ISBN-13: 9780857193933
Publisher: Harriman House Publishing
Publication date: 02/02/2015
Pages: 158
Sales rank: 253,873
Product dimensions: 6.10(w) x 9.00(h) x 0.50(d)

About the Author

Dr. Howard is co-founder of AthenaInvest, a Greenwood Village-based SEC Registered Investment Advisor. He led the research project that resulted in Strategy Based Investing, the methodology which underlies AthenaInvest's investment approach. He oversees Athena's ongoing research, which has led to a number of industry publications and conference presentations. Dr. Howard currently serves as CEO, Director of Research, and Chief Investment Officer at Athena.
Dr. Howard is a Professor Emeritus at the Reiman School of Finance, Daniels College of Business, University of Denver, where for over 30 years he taught courses and published articles in the areas of investment management and international finance. For many years he presented stock analysis seminars throughout the US for the American Association of Individual Investors, a national investment education organization headquartered in Chicago. Dr. Howard has been a guest lecturer at SDA Bocconi, Italy's leading business school and at Handelsho/jskole Syd in Denmark and was a 2004 Summer lecturer in international finance at EM Lyon in France.
He consulted with a number of firms, most recently First Data Corp and Janus Capital Group, and served for 10 years on the Board of Directors for AMG National Trust Bank N.A., a financial counseling and investment management firm headquartered in Denver.
After receiving his BS in Mechanical Engineering at the University of Idaho, Dr. Howard worked three years for Proctor Gamble as a production and warehouse manager. He then entered Oregon State University where he received an MS in Management Science after which he received a Ph.D. in Finance from the University of Washington.

Table of Contents

About the author
Acknowledgements
Preface
1. Mastering Your Emotions
Summary
The Impact of Emotion When Investing
Basic Concepts in Emotional Control
2. The Care Of Your Stock Portfolio
Summary
Sound Portfolio Decisions
Company and Industry Diversification
International Diversification
Diversifying Larger Portfolios
Trading Activity
Portfolio Versus Individual Stock Performance
Measuring Performance
3. Tilting the Market In Your Favor
Summary
The Time Structure of Market Returns
Deep Behavioral Currents
Catching the Trade Winds of the Market
4. Where To Find Investment Ideas
Summary
The Universe of Ideas
Your Broker or Your Barber or Your Brother
Stock Screening
5. Value Investing Framework
Summary
Identifying Undervalued Stocks
Value Investing versus Future Growth Investing
Value Analysis
Estimating a Value Range
The Art of Selling
Performance Expectations
The Holding Period
6. Making Sense of the Economy and the Market
Summary
The Relationship Between the Market and the Economy
The Business Cycle
The Federal Deficit and Money
Market-wide Valuations
7. Untangling Financial Statements
Summary
The Company's Flows
The Balance Sheet
Making Financial Statements Useful: Ratio Analysis
Lies, Damn Lies and Financial Statements
8. In Search of Value
Summary
The Idea Behind Valuation
Dividend Valuation
Earnings and Other Valuation Techniques
9. Conducting A Value Analysis
Valuation Example 1
Valuation Example 2
10. A Closer Look At Earnings
Summary
Accounting Issues in Reported EPS
Company 7 Example
11. How The Pros Implement A Valuation Strategy
Mutual Fund Research
Impact of Elements
Putting it All Together
Some Final Thoughts
The Art and Science of Value Investing
The Three Secrets of Value Investing: Patience, Patience and More Patience!
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