Corporate Valuation for Portfolio Investment : Analyzing Assets, Earnings, Cash Flow, Stock Price, Governance, and Special Situations

Corporate value is a moving target, and it is clear that corporate valuation is one of the most difficult endeavors in the worlds of finance and business. But a realistic assessment of value is key to investing success. Nobody understands this better than authors Robert Monks—who has spent a lifetime making sense ofvalue-based investments—and Alexandra Lajoux, an ardent proponent of the overarching principle of stewardship and long-term sustainable value creation. Designed for the professional investor who is building an investment portfolio that includes equity, Corporate Valuation for Portfolio Investment takes you through a range of approaches, including those primarily based on assets, earnings, cash flow, and securities prices, as well as hybrid techniques. Along the way, it discusses the importance of qualitative measures such as governance—which go well beyond generally accepted accounting principles and international financial reporting standards—and addresses a variety of special situations in the life cycle of businesses, including initial public offerings and bankruptcies. Engaging, informative, and current, Corporate Valuation for Portfolio Investment also contains formulas, checklists, and models that the authors, or other experts, recommend for making equity investments in this new "post-Meltdown" era. Page by page, this reliable resource not only covers existing valuation techniques based on assets, earnings, cash flow, and securities prices, but also:Presents more than a dozen hybrid approaches to valuation, explaining their relevance to different types of investorsCharts stock market trends—verbally and visually—enabling investors to think like traders when neededOffers valuation guidance based on less quantitative factors, namely management quality and factors relating to the company and the economy Provides guidance for holding on to investments during times of change in the life cycle of a corporation And much more As long as investors thoughtfully use a variety of tools to make their investments, corporate securities will continue to generate wealth for their owners and for society at large. Corporate Valuation for Portfolio Investment puts this dynamic discipline in perspective and presents proven ways to determine the value of corporate equity securities for the purpose of portfolio investment.