The consistently bestselling What Works on Wall Street explores the investment strategies that have provided the best returns over the past 50 years--and which are the top performers today. The third edition of this BusinessWeek and New York Times bestseller contains more than 50 percent new material and is designed to help you reshape your investment strategies for both the postbubble market and the dramatically changed political landscape.
Packed with all-new charts, data, tables, and analyses, this updated classic allows you to directly compare popular stockpicking strategies and their results--creating a more comprehensive understanding of the intricate and often confusing investment process. Providing fresh insights into time-tested strategies, it examines:
- Value versus growth strategies
- P/E ratios versus price-to-sales
- Small-cap investing, seasonality, and more
Table of Contents
| Ch. 1 |
Stock investment strategics : different methods, similar goals |
1 |
| Ch. 2 |
The unreliable experts : getting in the way of outstanding performance |
13 |
| Ch. 3 |
Rules of the game |
31 |
| Ch. 4 |
Ranking stocks by market capitalization : size matters |
49 |
| Ch. 5 |
Price-to-earnings ratios : separating the winners and losers |
71 |
| Ch. 6 |
Price-to-books ratios : a better gauge of value |
91 |
| Ch. 7 |
Price-to-cashflow ratios : using cash to determine value |
109 |
| Ch. 8 |
Price-to-sales ratios : the king of the value factors |
127 |
| Ch. 9 |
Dividend yields : buying an income |
143 |
| Ch. 10 |
The value of value factors |
155 |
| Ch. 11 |
Do high earnings gains mean high performance? |
167 |
| Ch. 12 |
Five-year earnings-per-share percentage changes |
185 |
| Ch. 13 |
Profit margins : do investors profit from corporate profits? |
197 |
| Ch. 14 |
Return on equity |
209 |
| Ch. 15 |
Relative price strength : winners continue to win |
221 |
| Ch. 16 |
Using multifactor models to improve performance |
243 |
| Ch. 17 |
Dissecting the market leaders universe : ratios that add the most value |
259 |
| Ch. 18 |
Dissecting the small stocks universe : ratios that add the most value |
269 |
| Ch. 19 |
Searching for the ideal value stock investment strategy |
281 |
| Ch. 20 |
Searching for the ideal growth strategy |
295 |
| Ch. 21 |
Uniting strategies for the best risk-adjusted performance |
309 |
| Ch. 22 |
New research initiatives |
319 |
| Ch. 23 |
Ranking the strategies |
335 |
| Ch. 24 |
Getting the most out of your equity investments |
377 |