Security Analysis on Wall Street: A Comprehensive Guide to Today's Valuation Methods

by Jeffrey C. Hooke

Security Analysis on Wall Street The principles of investing have always been simple: buy low, sell high. The information needed to make these potentially lucrative decisions, however, is often hard to find, difficult to decipher, and not always reliable. This authoritative new book is the essential reference for students who want to learn the rational, rigorous analysis that is still the most successful way to evaluate securities. Security Analysis on Wall Street explains how the values of common stocks are really determined in today's marketplace and takes a comprehensive look at the entire security evaluation process, as well as the major valuation techniques currently being used by Wall Street professionals. Beginning with an overview of the environment in which stocks are issued, researched, bought, and sold, Hooke examines the roles of the various players, the rules of the markets, and the activities surrounding initial public offerings. He then probes the intricacies of analyzing and reporting on securities with proven methods for evaluating the merits of a stock. This sophisticated yet straightforward system teaches students how to assess profitable firms; understand marginal performers, leveraged buyouts, and corporate takeovers; and-most importantly-to break down different analyses and get the big answers: Is the security fairly valued, and why or why not? "A welcome successor to Graham and Dodd's Security Analysis." -Barron's

Genres: Finance, Textbooks, Accounting

512 pages, Paperback

First published April 6, 1998

Reviews

[Bayu D. Putra]

I asked the librarian whether the Security Analysis by Graham-Dodd is available on the shelf, he recommended me this book instead.

[Hassan Zayour · Rating 4 out of 5]

This was a great read on Security Analysis. It gives insights in a textbook fashion, which is considerably different to what I have been used to seeing thus far from such books. For example, Graham's books provide knowledge in this domain in the form of intuitive wisdom. This book on the other hand was more of a scientific textbook.
However, it was very interesting and insightful to read. I would say it should definitely have a spot in any security analyst's library.

[Brian Zheng · Rating 4 out of 5]

The author's background as an investment banker and PE investor makes the book more practical than the rest of valuation book. The book should be helpful to a fresh investment banker or PE analyst who spend much time on valuation. If you have some good education in business or valuation, you should jump directly to Chp 20-27. The author covers some case studies of different sectors where distinctive valuation methods are used, such as resource company and insurance company. Overall, a good primer on valuation but could be better if the valuation for different industry part can be strengthened.

[Santiago Echeverri · Rating 5 out of 5]

Excellent Description of Modern Valuation Techniques

This book is excellent. It it part of several MBA curriculums for a reason. The author very aptly explains all modern valuation framework and describes real life situations of how each would apply through case studies. Any serious investor, specially those with a value bent, should read this.