A Contrarian Strategy for Growth Stock Investing: Theoretical Foundations and Empirical Evidence
Editorial Reviews
Book Description
This book develops a theory regarding the market's pricing of growth stocks. It argues that some of these equities are priced at extremes. Thus high expectation growth stocks have disappointing performance as the market is too optimistic regarding their prospects. In contrast, low expectation growth stocks have strong relative performance in comparison with other growth stocks and the market in general. The book uses the PE/GROWTH ratio to gauge the market's expectations. The PE/GROWTH ratio is helpful because it is easy to compute and puts a stock's PE in a per-unit growth framework. The book draws on academic literature on signaling theory, earnings surprises, and other areas to build its holistic approach to growth stock investing.
About the Author
DONALD J. PETERS is a portfolio manager at Geewax, Terker & Co., a Philadelphia area investment counseling firm.
A Contrarian Strategy for Growth Stock Investing: Theoretical Foundations and Empirical Evidence,Donald J. Peters,Quorum Books,0899308031,Business & Economics,Business / Economics / Finance,Business/Economics,Finance,Investments,Investments & Securities - Stocks,Stocks,Business & Economics / Finance
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