Question about the Intelligent Investor book

[toast2success]

I have been making my way through this book and scanning over parts of it.

Is there more than one version of this book and do they contain different info ?

I'm wondering if I have been reading an older version...when reading about the book on the net a lot of people have made reference to a formula that Graham used for valuing stocks. It's easy enough for one to find this formula as it's all over the net, but off the top of my head I dont recall seeing it in the book, which makes wonder if the version I have is missing anything else..or perhaps I just completely missed it..?

Also there is one point where he talks about each company having a 'multiplier' between 10 and 40. I'm not sure how he arrived at these 'multiplier ' numbers..? Is anyone able to elaborate.

TIA

[h2so4]

Give it a go

Your multiplier is just a number that when multiplied gives a quick answer. In this case it is based on assumptions for expected future growth rates that when multiplied by current earnings gives a rough estimate of what the value of a stock might be.

My copy of The Intelligent Investor ( 4th revised addition) page 158 shows he had a simple formula for growth stocks Value = Current Earnings x (8.5 plus twice the expected annual growth rate) so as an example for a company with an expected growth rate of 7.2% Value = Current earnings x ( 8.5 plus 7.2 x 2)
= Current earnings x 22.9
22.9 is the multiplier.

[toast2success]

The one I'm reading says it's the original 1949 edition with a new foreword by John.C.Bogle. Maybe the formula isnt in it

http://www.fishpond.co.nz/Books/Inte.../9780060752613

[CJ]

I have been told the one to get is the revised edition edition which is over 600 pages : http://www.amazon.co.uk/Intelligent-...=1N5OW73I9FJDK It features new chapter updates - which append every chapter of Graham's book, leaving his original text untouched - from noted financial journalist Jason Zweig,

Still on my wishlist at amazon.

[h2so4]

The one I'm reading says it's the original 1949 edition with a new foreword by John.C.Bogle. Maybe the formula isnt in it

http://www.fishpond.co.nz/Books/Inte.../9780060752613

I think you are right. His formulas may not have been published until later and were probably first published in Security Analysis