Welcome to Rare Books Insider for 14th December 2021.
We use Moneyball tactics to discover undervalued, mispriced, and hidden gems in Fractional Investing.
Again, there was no trading on any fractional markets last week, so the Rare Books Index was flat just above even for 2021.
Last week we highlighted an auction underway at Sotheby’s featuring a number of tier one rare books, and I estimate at least three of the five highlights would beat estimates:
There’s a lot to like this week at Sotheby’s with first editions from William Blake, JK Rowling, George Orwell, JRR Tolkien, and Ian Fleming on the block. Estimates range from $10k to $70k, though I reckon at least three will exceed expectations.
There’s also a slightly-battered first edition of Lord of the Flies with a more budget-friendly estimate of £3k to £5k.
Turns out only Blake let us down – he merely met expectations. The other four smashed it by an average of over 50%.
Our battered Lord of the Flies copy went for a sensible £3,780.
In all, around $25m worth of books were auctioned last week at an average of $1,285.
Three Jane Austen first editions (Sense and Sensibility, Pride and Prejudice, and Emma) sold for a combined $120k at Heritage alongside a lovely copy of Wizard of Oz and a first edition of Alcoholics Anonymous by Bill Wilson. Presumably the buyer there owes a special debt to Mr. Wilson.
Finally, a delightful complete set of C.S. Lewis’s Narnia first editions sold for an even $100k. Only the best for someone’s little ones.
This week and next week
IPOs and drops
Just one IPO to report this week from Rally.
Arthur Conan Doyle: Pair of First Editions
- Market Cap: $25k
- Inferred Value: $20k
- Drop: 12/14/21 on Rally
- Recommendation: Buy (it’s a bit overvalued but investors don’t seem to mind. The average book trading on Rally is more than 20% overvalued and overall ROI exceeds 11%)
Two books started trading this week on Rally, and both are up slightly.