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Financial Statement Analysis And Security Valuation

Financial Statement Analysis And Security Valuation

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About the Book

Financial Statement Analysis and Security Valuation teaches students to view a firm through its financial statements and to carry out the appropriate financial statement analysis to value the firm's debt and equity. The 4th edition works from a conceptual framework that helps the reader understand how businesses work, how they generate value, and how the value they generate is captured in financial statements. Salient Features • This edition emphasizes the role of financial statement analysis in “negotiating with Mr. Market” over the price to pay for securities (to use the words of Benjamin Graham). Students will be able to understand how earnings forecasts relate to value, reverse engineer the market price to understand the forecast that Mr. Market is making, and then challenge that forecast with sound financial statement analysis. • With the bubble valuation of the 1990s as a backdrop, earlier editions emphasized the danger of buying overpriced shares. With multiples falling below historical benchmarks during the credit crisis of the fall of 2008, this edition applies the same analysis to evaluating underpricing. • Each text part is a distinct module, allowing the parts to be taught out of order without inconveniencing the instructor.

Table of Contents:
1 Introduction to Investing and Valuation 2 Introduction to the Financial Statements Part One: Financial Statements and Valuation 3 How Financial Statements Are Used in Valuation 4 Cash Accounting, Accrual Accounting, and Discounted Cash Flow Valuation 5 Accrual Accounting and Valuation: Pricing Book Values 6 Accrual Accounting and Valuation: Pricing Earnings Part Two: The Analysis of Financial Statements 7 Viewing the Business Through the Financial Statements 8 The Analysis of the Statement of Shareholders’ Equity 9 The Analysis of the Balance Sheet and Income Statement 10 The Analysis of the Cash Flow Statement 11 The Analysis of Profitability 12 The Analysis of Growth and Sustainable Earnings Part Three: Forecasting and Valuation Analysis 13 The Value of Operations and the Evaluation of Enterprise Price-to-Book Ratios and Price-Earnings Ratios 14 Anchoring on the Financial Statements: Simple Forecasting and Simple Valuation 15 Full-Information Forecasting, Valuation, and Business Strategy Analysis Part Four: Accounting Analysis and Valuation 16 Creating Accounting Value and Economic Value 17 Analysis of the Quality of Financial Statements Part Five: The Analysis of Risk and Return 18 The Analysis of Equity Risk and Return 19 The Analysis of Credit Risk and Return Appendix A Summary of Formulas Inde


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Product Details
  • ISBN-13: 9789339204693
  • Publisher: Tata McGraw-Hill Education
  • Publisher Imprint: Tata McGraw-Hill Education
  • Edition: 4
  • No of Pages: 780
  • ISBN-10: 9339204697
  • Publisher Date: Apr. 2014
  • Binding: Paperback
  • Language: English
  • Weight: 0 gr

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