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Strategies & Market Trends : Value Investing

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To: James Clarke who wrote (1457)6/29/1997 10:31:00 AM
From: Ron Bower   of 78740
 
James,

Those on this list seem to have different opinions of 'Value Investing'. I seem to be far more conservative.

I consider 90% of the stocks I own to be 'value stocks'. (I keep about 10% in 'penny' stocks that I feel have potential for high return, but could also see bankruptcy. 800% gain versus total loss.)

My value stocks all have similar features. With most, my position is good ratio BV weighed against EPS. Most are strong on cash with minimal debt, pay dividends, and will grow 20-300% in the next year.

WHX is a company I would normally give strong consideration. A profitable company disrupted by a short term incident. Exactly what I normally look for, except - I avoid unionized companies and companies that could have environmental problems. I also feel the potential gain not worth the risk, but this is likely because I have more confidence in other sectors.

Perhaps I'm wrong, but my portfolio growth indicates I should continue to do just as I have been.

Ron
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