Investment valuation : tools and techniques for determining the value of any asset

Includes Index.

Introduction to Valuation --
A Philosophical Basis for Valuation --
Generalities about Valuation --
The Role of Valuation --
Approaches to Valuation --
Discounted Cash Flow Valuation --
Relative Valuation --
Contingent Claim Valuation --
Understanding Financial Statements --
The Basic Accounting Statements --
Asset Measurement and Valuation --
Measuring Financing Mix --
Measuring Earnings and Profitability --
Measuring Risk --
Other Issues in Analyzing Financial Statements --
The Basics of Risk --
What Is Risk? --
Equity Risk and Expected Return --
A Comparative Analysis of Risk and Return Models --
Models of Default Risk --
Option Pricing Theory and Models --
Basics of Option Pricing --
Determinants of Option Value --
Option Pricing Models --
Extensions of Option Pricing --
Market Efficiency--Definition, Tests, and Evidence --
Market Efficiency and Investment Valuation --
What Is an Efficient Market? --
Implications of Market Efficiency --
Necessary Conditions for Market Efficiency --
Propositions about Market Efficiency --
Testing Market Efficiency --
Cardinal Sins in Testing Market Efficiency --
Some Lesser Sins That Can Be a Problem --
Evidence on Market Efficiency --
Time Series Properties of Price Changes --
Market Reaction to Information Events --
Market Anomalies --
Evidence on Insiders and Investment Professionals --
Riskless Rates and Risk Premiums --
The Risk-Free Rate --
Equity Risk Premium --
Default Spreads on Bonds --
Estimating Risk Parameters and Costs of Financing --
The Cost of Equity and Capital.

Investment Valuation
Tools and Techniques for Determining the Value of Any Asset
Valuation is at the heart of every investment decision, whether that decision is to buy, sell, or hold. But the pricing of any financial asset has become a more complex task in modern financial markets. Now completely revised and fully updated to reflect changing market conditions, Investment Valuation, Second Edition, provides expert instruction on how to value virtually any type of asset-stocks, bonds, options, futures, real assets, and much more.
Noted valuation authority and acclaimed NYU finance professor Aswath Damodaran uses real-world examples and the most current valuation tools, as he guides you through the theory and application of valuation models and highlights their strengths and weaknesses.
Expanded coverage addresses:
* Valuation of unconventional assets, financial service firms, start-ups, private companies, dot-coms, and many other traditionally valued assets
* Risk in foreign countries and how best to deal with it
* Using real option theory and option pricing models in valuing business and equity
* The models used to value different types of assets and the elements of these models
* How to choose the right model for any given asset valuation scenario
* Online real-time valuations that are continually updated at www.damodaran.com
A perfect guide for those who need to know more about the tricky business of valuation, Investment Valuation, Second Edition, will be a valuable asset for anyone learning about this critical part of the investment process.