Value.able review by Student2trader.com
Very few books get me this excited.
The anticipation I had when opening my package upon receiving Roger’s book was huge! Boy was I not let down!
Roger’s book literally reignited my interest toward fundamental valuation of firms. Investors should rejoice, finally a logical approach to valuing ANY company that literally ANY investor can use. I have put many friends and family on to this book! I have no doubt that Value.able is going to take the nation, possibly the world, by storm.
I really enjoy Roger’s simple approach to valuing companies and the way he explains his concepts in the book are commendable. Some of his best concepts involve seeking both qualitative and quantitative margins of safety when using his simple yet very effective valuation method.
Roger gives a lot of value to his readers in this book. I personally never accept anything I read unless I completely understand exactly what is happening, how the concept works and how the assumptions affect the outcome. Subsequently, Value.able was a fantastic read for those reasons; Roger leaves nothing to the imagination, makes no unjustifiable assumptions, and bases his methods on proven and simple logic. Best of all, you don’t need a degree in finance to understand his book.
I honestly recommend you read Value.able. Many people are already looking forward to the second edition of the book, which will no doubt add further value for readers, based on the feedback Roger received from the first release.
If you are an investor, a student, a simple person wanting an easier logical way to make your decisions or even if you are academically challenged, you will understand Roger’s approach.
Well done Roger, I look forward to reading your future books!
Co-founder of Student2Ttrader.com.
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
Duncan
:
How Did You Hear: Roger Montgomery Insights blog
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Message: Struggling
Hi Roger i don’t understand the figures you use in the compare valuations test.
Taking WOW -following the jb hifi steps and looking at commsec. payout
ratio on commsec is 69% you have 64%. 69% follow the EPS and DPS stated.
Roe is 27% you have 30.6%
i get a value of $24.01 you have $25
i know these are estimates of value but a dollar+ difference make a big
difference when buying share. NPAT isn’t part in the book? why is it in the test table how do you use it?
Roger Montgomery
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Hi Duncan,
The difference will be due to inputs. Commsec and Etrade data is not the same as the annual reports. Have a read of the comments made under those posts and you will find much debate and discussion on this topic. Yes I accept that a dollar is a big difference, but not if we are trying to buy at $18 or even $20.
Russell
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Wonderful book and the review does not over-state its worth Thank you Roger
Roger Montgomery
:
Thanks Russ. Great to hear from you. I am delighted to hear you liked my book.