Traders and investors spend fortunes in time and money trying to gauge the real value of individual stocks. The Streetsmart Guide to Valuing a Stock introduces proven techniques for analyzing a stock's value, spotting undervalued and overvalued stocks, and understanding the impact of interest rate changes and earnings reports on stock prices. New topics include: Finance theory in the stock valuation process Short-term stock price versus long-term value Use of valuation models to uncover misstatements and outright fraud
This book came highly recommended and I have to agree, it does an excellent job of explaining how to determine the intrinsic value of a company through a discounted cash flow analysis. The authors speak plainly and use examples throughout to help you be able to do this kind of analysis yourself. It hasn't been updated since about 2003 or so and some of the examples are now a bit dated, but regardless, it is excellent. Five stars.