By Gary Smith
Review via NY Times
“Instead of trying to predict short-term zigs and zags in stock prices, value investors evaluate individual stocks and the market as a whole by looking for good companies that have low stock prices relative to their dividends, earnings and assets,” he writes….
Throughout the book, Mr. Smith provides financial formulas to help you identify value stocks, and his writing is clear and often clever. For example:
* “Bargains are not going to be found when investors are optimistic, but when they are pessimistic.”
* “Value investors do not buy metals — no matter how precious — because metals do not generate cash.”
* “It’s tempting to confuse a great company with a great stock.”
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