Investment Valuation

The definitive source of information on all topics related to
investment valuation tools and techniques

Valuation is at the heart of any investment decision, whether
that decision is buy, sell or hold. But the pricing of many assets
has become a more complex task in modern markets, especially after
the recent financial crisis. In order to be successful at this
endeavor, you must have a firm understanding of the proper
valuation techniques. One valuation book stands out as withstanding
the test of time among students of financial markets and investors,
Aswath Damodaran'sInvestment Valuation.

Now completely revised and updated to reflect changing market
conditions, this third edition comprehensively introduces students
and investment professionals to the range of valuation models
available and how to chose the right model for any given asset
valuation scenario. This edition includes valuation techniques for
a whole host of real options, start-up firms, unconventional
assets, distressed companies and private equity, and real estate.
All examples have been updated and new material has been added.

• An expansion of ancillaries include updated online databases,
  spreadsheets, and other educational support tools

• Fully revised to incorporate valuation lessons learned from the
  last five years, from the market crisis and emerging markets to new
  types of equity investments

• Revised examples of company valuations such as companies from
  Eastern Europe and Africa, which stress the global nature of modern
  valuation

• Author Aswath Damodaran is regarded as one of the best
  educators and thinkers on the topic of investment valuation

This indispensable guide is a must read for students wishing to
gain a better understanding of investment valuation and its
methods. With it, you can take the insights and advice of a
recognized authority on the valuation process and immediately put
them to work for you.

Auteur

ASWATH DAMODARAN is Professor of Finance at New York University's Leonard N. Stern School of Business. He has been the recipient of numerous awards for outstanding teaching, including the NYU university-wide Distinguished Teaching Award, and was named one of the nation's top business school teachers by BusinessWeek in 1994. In addition, Damodaran teaches training courses in corporate finance and valuation at many leading investment banks. His publications include Damodaran on Valuation: Security Analysis for Investment and Corporate Finance; Investment Valuation; Corporate Finance; Investment Management; and Applied Corporate Finance, all published by Wiley, and The Dark Side of Valuation.

Texte du rabat
INVESTMENT VALUATION Third Edition UNIVERSITY EDITION Valuation is at the heart of any investment decision, whether that decision is buy, sell, or hold. But the pricing of many assets has become a more complex task in modern markets, especially after the recent financial crisis. Now completely revised and updated to reflect changing market conditions, the Third University Edition of Investment Valuation provides expert instruction on how to value virtually any type of asset—stocks, bonds, options, futures, real assets, and much more. Written by noted valuation authority—and acclaimed New York University Stern Business School Professor—Aswath Damodaran, this reliable resource uses real-world examples and the most current valuation tools to guide you through the theory and application of various valuation models. Along the way, it provides comprehensive coverage of:

• The valuation lessons learned from the recent market crisis
• Using real option theory and option pricing models in valuing business and equity
• Valuation of unconventional assets, financial service firms, start-ups, emerging market companies, and many other traditionally valued assets
• Probabilistic approaches in valuation, such as scenario analysis, decision trees, and simulations
• How to choose the right model for any given asset valuation scenario A perfect guide for those who need to know more about the tricky business of valuation, the Third University Edition of Investment Valuation—which includes an instructor's companion site—will be an essential asset to anyone learning about this critical part of the investment process.

Résumé
The definitive source of information on all topics related to investment valuation tools and techniques Valuation is at the heart of any investment decision, whether that decision is buy, sell or hold. But the pricing of many assets has become a more complex task in modern markets, especially after the recent financial crisis. In order to be successful at this endeavor, you must have a firm understanding of the proper valuation techniques. One valuation book stands out as withstanding the test of time among students of financial markets and investors, Aswath Damodaran'sInvestment Valuation.

Now completely revised and updated to reflect changing market conditions, this third edition comprehensively introduces students and investment professionals to the range of valuation models available and how to chose the right model for any given asset valuation scenario. This edition includes valuation techniques for a whole host of real options, start-up firms, unconventional assets, distressed companies and private equity, and real estate. All examples have been updated and new material has been added.

• An expansion of ancillaries include updated online databases, spreadsheets, and other educational support tools
• Fully revised to incorporate valuation lessons learned from the last five years, from the market crisis and emerging markets to new types of equity investments
• Revised examples of company valuations such as companies from Eastern Europe and Africa, which stress the global nature of modern valuation
• Author Aswath Damodaran is regarded as one of the best educators and thinkers on the topic of investment valuation
  This indispensable guide is a must read for students wishing to gain a better understanding of investment valuation and its methods. With it, you can take the insights and advice of a recognized authority on the valuation process and immediately put them to work for you.

Contenu

Chapter 1 Introduction to Valuation 1

A Philosophical Basis for Valuation 1

Generalities about Valuation 2

The Role of Valuation 6

Conclusion 9

Questions and Short Problems 9

Chapter 2 Approaches to Valuation 11

Discounted Cash Flow Valuation 11

Relative Valuation 19

Contingent Claim Valuation 23

Conclusion 25

Questions and Short Problems 25

Chapter 3 Understanding Financial Statements 27

The Basic Accounting Statements 27

Asset Measurement and Valuation 29

Measuring Financing Mix 36

Measuring Earnings and Profitability 42

Measuring Risk 47

Other Issues in Analyzing Financial Statements 53

Conclusion 55

Questions and Short Problems 55

Chapter 4 The Basics of Risk 58

What is Risk? 58

Equity Risk and Expected Return 59

Alternative Models for Equity Risk 71

A Comparative Analysis of Equity Risk Models 76

Models of Default Risk 77

Conclusion 81

Questions and Short Problems 82

Chapter 5 Option Pricing Theory and Models 87

Basics of Option Pricing 87

Determinants of Option Value 89

Option Pricing Models 90

Extensions of Option Pricing 107

Conclusion 109

Questions and Short Problems 109

Chapter 6 Market EfficiencyDefinition, Tests, and Evidence 111

Market Efficiency and Investment Valuation 111

What Is an Efficient Market? 112

Implications of Market Efficiency 112

Necessary Conditions for Market Efficiency 114

Propositions about Market Efficiency 114

Testing Market Effi…