All editions of Graham and Dodd's Security Analysis have sold close to one million copies since it first appeared in 1934. This third edition was thoroughly updated and revised, to reflect the growing interest of individual investors in common stocks. The first edition of Security Analysis was written in the aftermath of the great crash of 1929, when the economic future was still under a cloud of uncertainty. The 1940 edition was written during a period of economic recovery preceding America's entry into World War II. By the time he wrote the third edition, Graham had had the chance to observe and study the financial markets under a variety of turbulent conditions. Most important, this edition was the first written during a time of economic stability and growth. A a result, the greatest thematic shift of the third edition is a stronger belief and focus in the legitimacy of common stocks as an apt investment for the individual investor. As in the first two editions, this one provides the principles and techniques to measure asset values and cash flows so that investors can sharpen their judgements of company's earnings, refresh their insight into what individual companies are worth, and evaluate how much debt a leveraged company can service.