Book on Valuation

In: Business and Management

Submitted By samsacster
Words 100853
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The Little Book of Valuation

Aswath Damodaran Stern School of Business 44 West Fourth Street, 9-­‐96 New York, NY 10012 Email: Phone: 212-­‐998-­‐0340

First draft: October 14, 2010


Knowing the value of an asset may not be a prerequisite for investing or a guarantee for success, but it does help us make more informed judgments. For most investors, though, valuing an asset seems to be a task that is far too complex and complicated for their skill sets. Consequently, they either depend upon those that they regard as professionals (equity research analysts, appraisers) for their valuations or ignore value entirely when investing. In this book, I hope to show that valuation, at its core, is simple and that anyone who is willing to spend some time collecting information and analyzing it, can value an asset. I also hope to strip the mystique away from valuation practices and provide ways in which we can look at valuation judgments made by analysts and appraisers and decide whether they make sense…...

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