Books On Value Investing: We all dream of meeting our role models – Our favourite billionaire, movie star, or sports celebrity. But not all of us get that rare opportunity. Instead, we settle for checking their social media handles, and of course, reading their best-selling books on Amazon. While we can’t cover every book written by the greatest people on the planet, we can give you a list of the best books on value investing.
What Is Value Investing?
The goal of any business is to make money by selling a product or service. By making money, we also mean to become profitable over time. Every business does this over time. But the smart investor, or, the value investor, is the person who picks stocks of companies that are undervalued when compared to their intrinsic value or book value.
Finding such stocks is a tricky procedure, as it takes years and years of learning and investing to actually pick stocks that are undervalued.
You Can Also Check Out Our Course On Value Investing Course in India for Beginners!
Top Books On Value Investing
Here’s a list of the top books on value investing.
1. The Little Book That Beats The Market – Joel Greenblatt
The author, Joel Greenblatt is known for his magic formula investing. The length of this book makes it ideal for anyone and everyone who doesn’t necessarily have a habit of reading and wants to learn investing briefly. The author writes about how his magic formula investing allowed him to pick fundamentally strong companies consistently.
Joel Greenblatt was a managing partner at Gotham Capital, a hedge fund that he started in 1985 with $7 million dollars.
2. Intelligent Investor by Benjamin Graham
This book by Benjamin Graham, Warren Buffett’s mentor, is widely regarded as one of the best books on investing. The author himself is known as the father of value investing. The content of this book takes investors back to the roots of the stock market, the importance of fundamental analysis, and portfolio management.
Of all the books on value investing in our article, this might be the oldest. It was published in 1949, so you can imagine its value to financial education, over seventy years after publication.
3. Beating The Street by Peter Lynch
Learn value investing from one of the most reputed investors and hedge fund managers in the world – Peter Lynch. Lynch is well known for his work at Fidelity Investments and as the Magellan Fund manager. He has written papers and published books on value investing, including “One Up On Wall Street.”
In the book, he tells readers an important note about stocks, writing that they are not lottery tickets. If you want to build a profitable investment portfolio, this book can teach you how to get there.
4. The Dhandho Investor by Mohnish Pabrai
Mohnish Pabrai is one of the ace investors in India, with a strong following for his portfolio and investment strategies. This book written by the Indian ace investor explains a very simple, but overlooked concept of investing – “Low Risk, High Return”.
The idea is so simple, and complicating investing any further makes it confusing to even the smartest minds. The purpose of investing is to get the best returns, on the lowest risks.
The author himself is a fund manager who is the managing director of “Pabrai Investment Funds”. He is also one of the few Indian investors who had the opportunity to dine with Buffett at his annual charity dinner.
5. The Little Book On Value Investing by Christopher H. Brow
We keep using the term stock market but don’t really picture it as an actual market. Here is a writer who compares the stock market to a literal supermarket! Just like a regular store, we can find both expensive and cheap products (stocks). You, the investor, have to choose between buying a cheap stock vs an expensive stock.
Just like how it takes a seasoned customer to spot a good deal, it takes a value investor to know and pick the right stocks at the right price.
6. Value Investing & Behavioural Finance by Parag Parikh
Mutual Fund investors might have heard of the Parag Parikh Fund. It is one of the mutual fund schemes started by Parag Parikh, a well-known author, and investor in the Indian stock market. Most of the market moves because of emotions. Specifically greed or fear. “When others are greedy, be fearful and when others are fearful, be greedy”.
7. Essays Of Warren Buffett by Lawrence A. Cunningham
Every investor dreams of reading a book on investing, written by the Oracle Of Omaha, Warren Buffett. No doubt it would be a bestseller, but for now, we’ll have to settle for his essays.
Through his holding company, Berkshire Hathaway, Warren Buffett has regularly reached out to his investors through letters and essays. These letters have been compiled over the years and published as a book, by Lawrence Cunningham.
8. Value Investing From Graham To Buffett and Beyond – Multiple Authors
There are many investment moguls, fund managers, and stock market billionaires who each have an investment mantra that has worked for them. Naturally, the books written by such personalities reflect their beliefs and strategies. The authors of this book, include Bruce Greenwald.
In this book, he tries to explain the fundamentals of value investing. He also writes about the real-life examples of value investing used by the biggest names such as Warren Buffett, Micheal Price, and Mario Gabelli.
9. Rich Dad Poor Dad by Robert Kiyosaki
Everyone who wants to learn the most basic yet important part of financial education should read this book. Robert Kiyosaki, the author and real estate investor, writes to readers about how financial education is missing in schools and that leads to financial illiteracy.
This, in turn, has led to a whole generation of well-educated but financially poor people making wrong decisions about money and investments. It doesn’t necessarily matter if you’re interested in the stock market or gold or real estate.
This book tells you the secrets to proper money management for everyone. Besides his books, you can also check out his YouTube Channel “The Rich Dad Channel”.
Also Read: 8 Best Books For Intraday Trading – Top Reads For Beginners!
The books mentioned above are some of the best books on value investing. They offer priceless information, especially on investing for all types of investors, irrespective of their background. We hope you found this blog educational. To learn more about investing, check out Join Fingrad! Happy investing!
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