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Press comments and reviews for Valuing Wall Street
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Smithers & Co...
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    Valuing Wall Street


Jeremy Grantham

Grantham, Mayo, Van Otterloo & Co. interviewed in Barron's, 6th August 2001

"I'm a fan of Andrew Smithers.... He has lived in Japan for years, he has followed it for years. Ten years ago he said it would be an absolutely bloodcurdling disaster and it would go on for years .... It was the best call I have ever seen anyone make in my career."

Jeremy Grantham

Grantham, Mayo, Van Otterloo & Co.

"Smithers’ approach is ruthlessly rigorous in destroying bull arguments based more on hope and business interest than hard analysis. In their place he provides a guiding principle, based on theory, common sense and history, that should help all investors – professional or amateur – achieve better long run returns at much lower risk. Smithers is currently a serious bear; to pay attention to his case now could be the reader’s most important financial decision."

Henry Kaufman

Kaufman & Co.

"Valuing Wall Street is highly informative and should be especially helpful to those who wish to improve their investment performance. It is a very timely book and worthy reading in the current euphoric market."

Professor Charles Goodhart

London School of Economics and Member of Bank of England Monetary Policy Committee.

"It takes a brave man to forecast the movement of markets. But Andrew Smithers and Stephen Wright are the Cassandras of the New York Stock Exchange. Armed with an analysis based on ‘q’, the ratio between stock market prices and underlying capital value, they predict that the NYSE is facing a severe fall. They make their case clearly and forcefully. Investors should read and beware. The authors even have a candidate explanation for the ‘bubble’; which is that the fashion for granting executives stock options has encouraged a shift in the debt/equity ratio in order to maximise short-term managerial returns."

Dr Sushil Wadhwani

Bank of England Monetary Policy Committee.

"The Smithers-Wright book is an important contribution to the debate on how to value stock markets."

Barton Biggs

Morgan Stanley Dean Witter Investment Management.

"Andrews Smithers is one of the five best, most dispassionate, erudite analysts in the world. This is a book to read and chew on."

Professor Charles P. Kindleberger

Professor Emeritus, Massachusetts Institute of Technology.

"Andrew Smithers and Stephen Wright make a powerful economic argument that the New York stock market is "wildly overpriced" with shares at "ridiculous levels," calculated by them using Noble Laureate James Tobin’s q, or ratio of share prices to net worth of companies, at 2 ½ times. They anticipate and explain why stockbrokers and mutual fund managers will disagree with their analysis and finding."

Charles D Ellis

Greenwich Associates

"Wonderfully readable, this book’s clear, direct logic borrows on Jim Tobin’s concept of "q" to explain why the marvellous past is not only not prologue to perpetually higher and higher market valuations, but is the probable cause of future returns being so small at best, and at worst, perhaps suddenly reversed."