Equity Markets, Valuation, and Analysis

Sharpen your understanding of the financial markets with this incisive volume
 
Equity Markets, Valuation, and Analysis brings together many of the leading practitioner and academic voices in finance to produce a comprehensive and empirical examination of equity markets.
 
Masterfully written and edited by experts in the field, Equity Markets, Valuation, and Analysis introduces the basic concepts and applications that govern the area before moving on to increasingly intricate treatments of sub-fields and market trends. The book includes in-depth coverage of subjects including:
 
* The latest trends and research from across the globe
 
* The controversial issues facing the field of valuation and the future outlook for the field
 
* Empirical evidence and research on equity markets
 
* How investment professionals analyze and manage equity portfolios
 
This book balances its comprehensive discussion of the empirical foundations of equity markets with the perspectives of financial experts. It is ideal for professional investors, financial analysts, and undergraduate and graduate students in finance.

List of contents

Acknowledgments xiii
 
About the Editors xv
 
About the Chapter Authors xvii
 
Chapter 1 Equity Markets, Valuation, and Analysis: An Overview 1
H. Kent Baker, Greg Filbeck and Halil Kiymaz
 
Introduction 1
 
About This Book 3
 
Structure of the Book 5
 
Summary and Conclusions 12
 
References 13
 
Part One Background
 
Chapter 2 Ownership Structure and Stock Classes 17
Christopher J. Barnes, Ehsan Nikbakht and Andrew C. Spieler
 
Introduction 17
 
Single-Class Common Equity 18
 
Dual-Class Common Equity 26
 
Summary and Conclusions 29
 
Discussion Questions 29
 
References 29
 
Chapter 3 Equity Markets and Performance 33
Jay T. Brandi and Xudong Fu
 
Introduction 33
 
The Equity Market and the Economy 35
 
Market Indicators 39
 
Good Markets - Liquidity 40
 
Good Markets - Efficiency 41
 
Information Disclosure 43
 
Enforcement 43
 
Monetary Policies 44
 
Investments: Comparative Risk and Return 44
 
Stocks Versus Bonds: The Issuer's Perspective 47
 
Summary and Conclusions 48
 
Discussion Questions 48
 
References 48
 
Chapter 4 Securities Regulation 51
Douglas Cumming and Sofia Johan
 
Introduction 51
 
Trading Rules and Rules Pertaining to Broker-Dealer Conduct 52
 
Surveillance 58
 
Enforcement 59
 
Impact of Trading Rules and Surveillance on Corporate Outcomes 59
 
Summary and Conclusions 60
 
Discussion Questions 61
 
References 61
 
Chapter 5 Investor Psychology and Equity Market Anomalies 63
Hunter M. Holzhauer
 
Introduction 63
 
Investor Psychology: Bounded Rationality 64
 
Investor Psychology: Prospect Theory 65
 
Equity Market Anomalies: Violations of the EMH 67
 
Summary and Conclusions 73
 
Discussion Questions 74
 
References 74
 
Part Two Valuation and Analysis
 
Chapter 6 Financial Statement Analysis and Forecasting 81
Somnath Das and Shailendra Pandit
 
Introduction 81
 
Background 82
 
Technical Analysis-Based Forecasting 83
 
Time Series-Based Forecasting 83
 
Fundamental Analysis-Based Forecasting 85
 
Process of Analyzing Financial Statements 85
 
Evidence on the Usefulness of Financial Statement Analysis 86
 
Security Analysts and Financial Statement Analysis 88
 
Limitations of Using Financial Statement Analysis in Forecasting 90
 
Summary and Conclusion 91
 
Discussion Questions 92
 
References 92
 
Chapter 7 Fundamentals of Equity Valuation 97
Emmanuel Boutron, Alain Coën and Didier Folus
 
Introduction 97
 
What is Equity Valuation? 97
 
Free Cash Flow-Based Valuation 101
 
Dividend-Based Valuation 104
 
Market-Based Valuation: Multiples and Ratios 106
 
Modeling the Required Asset Return 108
 
Option Theory-Based Valuation 110
 
Summary and Conclusions 111
 
Discussion Questions 111
 
References 111
 
Chapter 8 Company Analysis 113
David Craig Nichols
 
Introduction 113
 
Three Steps Linking Business Activities to Equity Prices 113
 
Accounting Analysis 117
 
Fundamental Analysis 119
 
Summary and Conclusions 127
 
Discussion Questions 127
 
References 127
 
Chapter 9 Technical Analysis 131
David Lundgren
 
Introduction 131
 
Background 131
 
Pulling It All Together:

About the author

H. KENT BAKER, CFA, CMA, is the University Professor of Finance at the Kogod School of Business at American University. Professor Baker is an award-winning author/editor of 36 books. GREG FILBECK, CFA, FRM, CAIA, CIPM, PRM, is the Samuel P. Black III Professor of Finance and Risk Management at Penn State Behrend, and serves as the director for the Black School of Business. HALIL KIYMAZ, CFA, is the Bank of America Professor of Finance at the Crummer Graduate School of Business at Rollins College.

Summary

Sharpen your understanding of the financial markets with this incisive volume

Equity Markets, Valuation, and Analysis brings together many of the leading practitioner and academic voices in finance to produce a comprehensive and empirical examination of equity markets.

Masterfully written and edited by experts in the field, Equity Markets, Valuation, and Analysis introduces the basic concepts and applications that govern the area before moving on to increasingly intricate treatments of sub-fields and market trends. The book includes in-depth coverage of subjects including:

* The latest trends and research from across the globe

* The controversial issues facing the field of valuation and the future outlook for the field

* Empirical evidence and research on equity markets

* How investment professionals analyze and manage equity portfolios

This book balances its comprehensive discussion of the empirical foundations of equity markets with the perspectives of financial experts. It is ideal for professional investors, financial analysts, and undergraduate and graduate students in finance.

Product details

• Authors: H Ken Baker, H Kent Baker, H. Kent Baker, H. Kent (American University) Filbeck Baker, H. Kent Filbeck Baker, Hk Baker, Gre Filbeck, Greg Filbeck, Greg Baker Filbeck, Filbeck Greg, Halil Kiymaz, Kiymaz Halil
• Publisher: Wiley, John and Sons Ltd
• Languages: English
• Product format: Hardback
• Released: 31.08.2020
• EAN: 9781119632931
• ISBN: 978-1-119-63293-1
• No. of pages: 448
• Series: Wiley Finance; Wiley Finance Editions
• Subjects: Social sciences, law, business > Business > Business administration; Finanzwesen, Finance & Investments, Finanz- u. Anlagewesen, Spezialthemen Finanz- u. Anlagewesen, Finance & Investments Special Topics