I come from an engineering background and early in my career I discover financial modelling as I had to assess the viability of business plans. I deal with financial models the last 20 years of my professional carrier as a Group Financial Officer of SIDMA STEEL SA. Moreover, I am teaching financial modelling in the American College of Greece, Deree, at University of Nicosia in collaboration with Globaltraing and many other places abroad. I am a numbers person, and I am fascinated by financial modelling as it provides you a tool to support effective decision-making.
Again, this is the kind of book that demonstrates practically how to forecast financial performance of a company and then value it.
It goes a step further and, as the title proclaims, the authors try to reverse engineer a price of a stock and match investors’ expectations with specific assumptions of the model. One of these assumptions is the growth period. This contrasts with the conventional practice of discounting a fixed growth period of five or ten years.
The book provides Excel models, backed up by the proper math, that are very helpful in deconstructing a share price to model assumptions and see if they are plausible or not.
Most investment books try to assess the attractiveness of a stock price by estimating the value of the company. Expectations Investing provides a powerful and insightful alternative to identifying gaps between price and value.
Michael J. Mauboussin and Alfred Rappaport suggest that an investor start with a known quantity, the stock price, and ask what it implies for future financial results. After showing how to read expectations, Mauboussin and Rappaport provide a guide to rigorous strategic and financial analysis to help investors assess the likelihood of revisions to these expectations. Their framework traces value creation from the triggers that shape…
I’ve been working in value-based pricing for over 20 years and I’ve seen firsthand how it can transform a company’s profits when done right and executed properly through sales. While the specific strategies and tactics vary across industries, company size, and product offerings, many of the foundations and logic behind those strategies can be learned, and must be understood in order to grow a company’s revenue and profit growth in today’s markets. I’d love to connect about any of these topics – feel free to reach out on LinkedIn!
This book takes a deeper look into the psychology of choices and pricing.
It helps provide more context and understanding around some familiar tactics and what drives buyer’s decisions. While price setting can be a technical activity, leaders need to understand the softer/behavioral skills to sell that price both internally and externally. Both components are important in order to get your pricing right.
Winner, 2022 Leonard L. Berry Marketing Book Award, American Marketing Association
How do leaders, managers, and proprietors go about the essential task of setting prices? What biases enter into this process, and why? How can a business debias its price setting to become more productive, strategic, and profitable?
Combining perceptive insights from behavioral economics with leading-edge ideas on price management, this book offers a new approach to pricing. Gerald Smith demonstrates why understanding, reframing, and refining everyday pricing processes-a firm's or manager's pricing orientation-results in a better long-term pricing strategy. He explores how pricing actually happens in practice and shows…
I’m a Stanford professor who became fascinated
with oil and everything it does to for us and to us. For years I traveled the
world talking to the people who know petroleum: executives in the big oil companies,
politicians and activists, militants and victims, spies and tribal chiefs. Blood
Oil explains what I learned and how we can make our oil-cursed world better
for all of us.
This is an academic book that might knock your
socks off. Ross shows why countries with lots of oil are more likely to suffer
from dictators, civil wars, and worse economies—and even why they’re worse for
women than for men.
Could oil become a blessing instead of a curse in these
countries? Read Ross to find out.
Countries that are rich in petroleum have less democracy, less economic stability, and more frequent civil wars than countries without oil. What explains this oil curse? And can it be fixed? In this groundbreaking analysis, Michael L. Ross looks at how developing nations are shaped by their mineral wealth--and how they can turn oil from a curse into a blessing. Ross traces the oil curse to the upheaval of the 1970s, when oil prices soared and governments across the developing world seized control of their countries' oil industries. Before nationalization, the oil-rich countries looked much like the rest of the…
As an investor and a professional business valuation specialist, I have a passion for understanding the true intrinsic value of both publicly-traded and closely-held (private) companies. There’s no denying that Warren Buffett, emulating the example of his mentor Benjamin Graham, applied a private company valuation approach to the selection of publicly-traded stocks and the results speak for themselves. Furthermore, given my somewhat technical educational and vocational background, I am more comfortable than most valuators with highly technical and IP-weighted businesses. That is why I consider IP valuation to be an integral element of business valuation.
The process of business valuation lies at the core of value investing. That’s what Damodaran, longtime Professor of Finance at NYU, addresses in this book. An excellent distillation of the key business valuation approaches that are most relevant for investment, The Little Book of Valuation will make the valuation work less daunting and less arduous for the lay investor of the 21st century.
As well, like the two previous books, this book also underscores the fact that, without a systematic approach to valuing publicly-traded stocks as if they were private companies, proper value investing is not even possible, let alone profitable. Perhaps to underscore this truth, one of the recommendation blurbs is provided by Shannon Pratt, one of the leading gurus of private business valuation and the author of my 4th book pick.
An accessible, and intuitive, guide to stock valuation Valuation is at the heart of any investment decision, whether that decision is to buy, sell, or hold. In The Little Book of Valuation, expert Aswath Damodaran explains the techniques in language that any investors can understand, so you can make better investment decisions when reviewing stock research reports and engaging in independent efforts to value and pick stocks. Page by page, Damodaran distills the fundamentals of valuation, without glossing over or ignoring key concepts, and develops models that you can easily understand and use. Along the way, he covers various valuation…
I am associate professor at Prague University of Economics and Business.My passion is to discover blank spaces in the economy, for which standard mainstream economic models have not provided answers yet. I was usually fascinated by biased behavior of individuals, which might lead to substantial implications at aggregate level. This has led me to narrow my focus on behavioral macroeconomics with special emphasis on monetary theory and policy, vibrant field with a great potential. After all, experimental economics seems to be a wonderful tool to examine phenomena, which is hard to grasp or for which there is no available data, such as money illusion, coordination failure, bank runs or Modigliani-Cohn hypothesis.
Similarly, like John Maynard Keynes is considered to be “father of macroeconomics”, Irving Fisher is considered to be “father of money illusion”, which is a failure to perceive that the dollar expands or shrinks in value.
Although this book is older, it is highly topical for me, because of the rapid development of behavioral macroeconomics, which brings back attention to the resurrected concept of money illusion.
Fisher remarkably demonstrates, with the help of illustrative examples, direct harm which might be experienced in real life by people who suffer from money illusion in financial markets or labor markets. Fisher uses persuasive case studies based on his own observations.
He also utilizes money illusion and its indirect harms in order to explain the nature of the business cycle, in which case money is not neutral in the short run.
2011 reprint of 1928 edition. Full facsimile of the original edition, not reproduced with Optical Recognition Software. In economics, money illusion refers to the tendency of people to think of currency in nominal, rather than real, terms. This is a fallacy as modern fiat currencies have no inherent value and their real value is derived from their ability to be exchanged for goods and used for payment of taxes. The term was coined by John Maynard Keynes in the early twentieth century, and Irving Fisher 1928 book, The Money Illusion, is one of the most important works on the subject.
In my younger days, as the son of a medical professor and a public health nurse, I was more interested in healing society than patients. But my political interests and research agenda as a professor of political science ultimately led back to medicine. I found that profit-maximizing market competition in health care failed miserably to promote value in therapeutics and economize on society’s scarce resources. I became aware of the neglect of public health to prevent disease for vulnerable groups in society and save money as well as lives. Pervasive and enduring economic conflicts of interest in the medical-industrial complex bear primary responsibility for severe deficits in quality, equality, and economy in American health care.
I find Angell’sThe Truth About the Drug Companies extremely valuable for teaching students about how the pharmaceutical industry translates high profits into power resources to protect and increase those profits over time.
The former New England Journal of Medicine editor exposed how drug companies enlist politicians, the FDA, and medical academia for their cause. And armies of lawyers to extend monopoly marketing rights for years.
It was my first introduction to how they spend more on marketing than research, much of that on “copy-cat” drugs of dubious superiority to ones with expired patents.
As a tax (and high drug price) payer, I was disturbed to learn how they use government funds for basic research and then rig and spin their reporting of clinical studies to inflate their products’ therapeutic value and underplay their risks.
During her two decades at The New England Journal of Medicine, Dr. Marcia Angell had a front-row seat on the appalling spectacle of the pharmaceutical industry. She watched drug companies stray from their original mission of discovering and manufacturing useful drugs and instead become vast marketing machines with unprecedented control over their own fortunes. She saw them gain nearly limitless influence over medical research, education, and how doctors do their jobs. She sympathized as the American public, particularly the elderly, struggled and increasingly failed to meet spiraling prescription drug prices. Now, in this bold, hard-hitting new book, Dr. Angell exposes…
Mark Leibovit is Chief Market Strategist for Leibovit VR Newsletter. His technical expertise is in overall market timing and stock selection based upon his proprietary Volume Reversal (TM) methodology and Annual Forecast Model. Mark's extensive media television profile includes seven years as a consultant ‘Elf’ on Louis Rukeyser’s Wall Street Week television program, and over thirty years as a Market Monitor guest for PBS The Nightly Business Report. He also has appeared on Fox Business News, CNBC, BNN (Canada), and Bloomberg, and has been interviewed in Business Week, Forbes, and The Wall Street Journal. His comprehensive study on Volume Analysis, The Trader’s Book of Volume is a definitive guide to volume trading.
Harry and I are personal friends and I am an occasional contributor on his daily live website. Regardless, I follow his work everyday which is broadcast during market hours. He and I are both in our mid-70s and have been trading and writing about the stock market for 40-plus years.
Harry Boxer's proven techniques for short-term traders. He is the best I know for showing and using short-term technical stock market indicators.
Harry Boxer's proven techniques for short-term traders Written in easy-to-understand language, Profitable Day and Swing Trading + Website explains the trading tactics that draw on price, volume, and pattern recognition. Highly regarded trader Harry Boxer offers the information needed to recognize chart patterns, identify trades, and execute entries and exits that will maximize profits and limit losses. Boxer also reveals his concept of price-volume surges as the key to identifying the most lucrative trades. Throughout the book, Boxer describes his routine for preparing for each trading day, selecting stocks to monitor, and how he keeps track of prices and executes…
When I first started covering Wall Street as a reporter, I faced a steep learning curve. I had always loved history, but I knew almost nothing about the history of Wall Street itself. I started educating myself -- and what began as a utilitarian effort to do my job better became a life-changing passion. Too often, financial history gets written for analysts and academics; it was a rare joy to find writers who told these wonderful Wall Street tales in an engaging, accessible way. That became my goal as an author: to write financial history in a way that could fascinate the general reader.
It may seem odd to apply the word “thrilling” to an account of price movements through history. But for me, this book was one exciting “Aha!” moment after another. Fischer is a wonderful, whimsical writer, but he is also a brilliant historian who sees how the rhythms of the human economy – buying, selling, saving, spending – shape both the future and our understanding of the past. A truly surprising, brilliant book!
I am Rubén Villahermosa, independent trader and author. My logical and rational mind led me to question the why of market movements, which allowed me to learn the principles of the Wyckoff method. I have deepened in the study of the interaction between supply and demand through high-level Technical Analysis tools such as Wyckoff, VSA, Price Action, Volume Profile, and Order Flow; knowledge that I share through my books from principles of honesty, transparency, and responsibility.
Al Brooks is the most influential author on the pure study of price action. His trilogy is the bible for understanding the messages conveyed by individual candlesticks and price behavior as a whole.
The book teaches us how the market moves and provides clear ideas for taking advantage of different contexts: trends, ranges, and reversals.
A practical guide to profiting from institutional trading trends The key to being a successful trader is finding a system that works and sticking with it. Author Al Brooks has done just that. By simplifying his trading system and trading only 5-minute price charts he's found a way to capture profits regardless of market direction or economic climate. His first book, Reading Price Charts Bar by Bar, offered an informative examination of his system, but it didn't allow him to get into the real nuts and bolts of the approach. Now, with this new series of books, Brooks takes you…
I’ve been working in value-based pricing for over 20 years and I’ve seen firsthand how it can transform a company’s profits when done right and executed properly through sales. While the specific strategies and tactics vary across industries, company size, and product offerings, many of the foundations and logic behind those strategies can be learned, and must be understood in order to grow a company’s revenue and profit growth in today’s markets. I’d love to connect about any of these topics – feel free to reach out on LinkedIn!
While pricing has evolved in many ways, the tenets of this book will be referenced in nearly every modern-day pricing strategy.
It’s important to understand these foundations and their logic as you build out your own strategy. The book walks through the effects of price, how it reflects on your brand, and the art of price setting and differential value as important parts of the broader picture of pricing.
Practical in focus and lively in style, this book provides a comprehensive, managerially-focused, integrated, step-by-step guide to pricing analysis and strategy development. Numerous walk-through examples show how companies successfully or unsuccessfully implement pricing strategies. Strategic Pricing; Costs; Financial analysis; Customers; Competition; Price-center strategy; Life Cycle Pricing; Managing Value Perceptions; Segmented Pricing; Pricing in and through Distribution Channels; Competitive Advantages; Customer Research for Pricing; The Law and Ethics. For Marketing Managers, Product Managers, Managers of Pricing, Managers of Strategic Planning.
