Actually didn't the Japanese P/Es get even more out of line than ours?
The amazing thing was the way John Templeton rode the japan market from P/Es of 3 (yes: 3, for some major companies like Mitsubishi) to 40, 50, 60 and only got completely out a year or so before the top.
I may have incorrect information, but I think that teetolaing Methodist paid many of his college bills with poker winnings--I always forget if it was Yale or Princeton.
Would you believe that I come from the same small county in Tennessee as Templeton and in fact used to play with his children when they were visiting back in the 1940s? His brother was my father's best friend. Some years later, I was too busy studying poetry and admiring Ezra Pound, etc, to pay any attention to Templeton, involved as he was in some kind of vulgar business that centered on money. As you get older you see the value of money.
Every so often John Templeton does make a gesture towards Franklin County, TN, and his relatives. Knowing that his brother loved cars, he once brought him back a Rolls for a birthday present. The family was afraid to drive it because it was too valuable. And sure enough, someone bashed a fender on the Rolls (this is about 1980 or so). The other guy's insurance company ponied up $5,000 for the fender with no protest. So Harvey Templeton took the car in his garage, straightened out the damage, and kept the $5,000. After that he would say to his wife, "Hey sugar, we're a little short this month! Take the Rolls out for a spin!" |
