New insights for corporate strategists from a renowned value investor

Abstract

Purpose

This “masterclass” article explains how modern value investing analysis can guide corporate strategists and corporate development departments. It shows how executives can use some key insights from the recently published book by Martin J. Whitman and Fernando Diz, Modern Security Analysis (Hoboken, NJ: Wiley, 2013).

Design/methodology/approach

This masterclass includes an interview with the lead author of the book, value investor Martin J. Whitman.

Findings

The insights contained within Modern Security Analysis can and should be leveraged by corporate executives and strategists to create value for their firms.

Practical implications

This article supports earlier work published in Strategy & Leadership that shows Graham and Dodd-based valuation and analysis is a viable avenue of academic research and a viable method with which to assess corporate strategic initiatives (such as mergers and acquisitions, share buy-backs, risk management, etc.).

Originality/value

This analysis provides senior executives with a guide to the assessment tools used by the most successful value investors and an explanation of their relevance to corporate strategy.

Citation

Calandro, Jr, J. (2014), "New insights for corporate strategists from a renowned value investor", Strategy & Leadership, Vol. 42 No. 6, pp. 29-36. https://doi.org/10.1108/SL-10-2014-0072