Business Analysis & Valuation: Using Financial Statements (5th Edition: Text & Cases)

Business Analysis & Valuation: Using Financial Statements (5th Edition) provides a highly disciplined, structured framework for using financial statements to assess a firm’s current performance, future potential, and intrinsic value. Written by leading Harvard Business School professors, this textbook bridges the gap between accounting theory and real-world corporate valuation.

Unlike traditional texts that focus purely on the mechanics of debit and credit accounting, Palepu and Healy teach readers how to look through financial statements to see the underlying economic reality of a business. The book outlines a comprehensive four-part analysis framework—Strategy, Accounting, Financial, and Prospective Analysis—and demonstrates how to apply it across securities analysis, credit evaluation, corporate governance, and mergers and acquisitions (M&A).