We Analyzed r/ValueInvesting for a Year: Here are the 10 Books They Recommend Most
The subreddit r/ValueInvesting is one of the most active and knowledgeable communities on the internet for those dedicated to the principles of Benjamin Graham and Warren Buffett. Newcomers and seasoned investors alike constantly ask one question: "What books should I read?" To answer this definitively, we analyzed over a year's worth of posts and comments on r/ValueInvesting to tally the books that are recommended time and time again. This is the definitive reading list, curated by the collective wisdom of the Reddit value investing community.
Problem: An Overwhelming Number of "Must-Read" Lists
A quick search for "best value investing books" yields dozens of lists, many of which are written by people with little real-world investing experience. It's hard for a newcomer to know which books are genuinely foundational and which are just filler. You need a list that is vetted by a community of actual practitioners who are applying these concepts daily.
Solution: Crowdsourced Wisdom from a Dedicated Community
By analyzing the recommendations of thousands of users on r/ValueInvesting, we can filter out the noise and identify the books that have truly stood the test of time and provided the most value to the community. This isn't one person's opinion; it's a consensus built from countless discussions and debates. The results are clear, and the top recommendations form a comprehensive curriculum for any aspiring value investor.
The Top 10 Most Recommended Books on r/ValueInvesting
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#1
The Intelligent Investor by Benjamin Graham
This comes as no surprise. "The Intelligent Investor" is, without a doubt, the bible of value investing. Recommended in nearly every single thread, it's the foundational text upon which all other value investing literature is built. Warren Buffett himself called it "by far the best book on investing ever written." The community specifically emphasizes the importance of Chapter 8 (Mr. Market) and Chapter 20 (Margin of Safety).
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#2
One Up On Wall Street by Peter Lynch
If "The Intelligent Investor" is the textbook, "One Up On Wall Street" is the inspiring, practical field guide. Redditors love Lynch's accessible writing style and his core message: individual investors can use their local knowledge to find great companies ("tenbaggers") before Wall Street does. It's praised for being motivating, easy to understand, and packed with actionable advice.
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#3
The Most Important Thing by Howard Marks
This book is a collection of memos from Oaktree Capital co-chairman Howard Marks. The r/ValueInvesting community reveres this book for its focus on "second-level thinking," risk management, and understanding market cycles. It's considered less of a "how-to" guide and more of a book on developing the proper mindset and thought process of a successful investor.
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#4
Security Analysis by Benjamin Graham and David Dodd
Often cited as the more academic and dense follow-up to "The Intelligent Investor," "Security Analysis" is the deep dive. Redditors recommend this for those who have finished the top three and want to go to the graduate level. It's a comprehensive manual on the nitty-gritty of financial statement analysis and business valuation.
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#5
The Little Book That Still Beats the Market by Joel Greenblatt
Joel Greenblatt's "Magic Formula" is a frequent topic of discussion on the subreddit. This book is beloved for its simplicity and for providing a quantitative, step-by-step approach to finding good companies at fair prices. It's often recommended as a great starting point for people who are intimidated by Graham's dense prose.
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#6
Common Stocks and Uncommon Profits by Philip Fisher
Philip Fisher was a pioneer of "growth" investing, and his "scuttlebutt" method is highly respected within the value community. This book is recommended for teaching investors how to look beyond the numbers and evaluate the qualitative aspects of a business, such as its management quality and competitive advantages.
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#7
Margin of Safety by Seth Klarman
This is the holy grail of value investing books. It has been out of print for years, and used copies sell for thousands of dollars. While many redditors admit to only having read PDF versions, it is universally praised as a masterclass in risk-averse, disciplined value investing. Its scarcity only adds to its legend.
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#8
The Dhandho Investor by Mohnish Pabrai
Pabrai's book is popular for its focus on a "heads I win, tails I don't lose much" approach to investing. He breaks down his Dhandho framework, which emphasizes buying simple businesses with a large margin of safety. The community appreciates its focus on low-risk, high-return opportunities.
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#9
You Can Be a Stock Market Genius by Joel Greenblatt
Greenblatt's other major work is also a community favorite. This book is recommended for its deep dive into special situations, such as spin-offs, mergers, and bankruptcies. It's considered an essential guide for investors looking for opportunities in less-followed corners of the market.
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#10
The Outsiders by William N. Thorndike
This book profiles eight unconventional CEOs who generated incredible returns for their shareholders. It's a masterclass in capital allocation and is frequently recommended for teaching investors how to identify great management. Warren Buffett promoted the book in his 2012 annual letter, cementing its place in the value investing canon.
Conclusion: Your Value Investing MBA
Reading these ten books is like completing a self-taught MBA in value investing. The curriculum, curated by the passionate community at r/ValueInvesting, begins with the foundational principles of Graham, moves to the practical application of Lynch, and deepens into the nuanced thinking of Marks and Fisher. If you want to truly understand the art and science of value investing, this is the definitive reading list to guide your journey.
Community Discussion
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