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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Rick who wrote (10881)11/21/1999 11:02:00 PM
From: Mike Buckley  Read Replies (1) of 54805
 
About that Washington Post article. The author ends the article saying, "If all this is too much for you, go to another corporate Web site and check out another product we replace, at the rate of 200 billion a year. The shares have tripled over the past decade and the P/E ratio is only 22.
The product is Kleenex. I can recommend that."

I gather from the comment that he feels Kleenex has done tremendously well by tripling over the last ten years while still having a relatively low PE. That being the case, Kleenex stock has gone up at an average annual rate of 11% - 12%. During the same period you could have invested in an S&P 500 index fund and enjoyed 15% appreciation not including the dividends.

With that kind of recommendation, I'll pass. Such a stupid recommendation makes me wonder if anything else in the article is accurate. I'm not saying anything in the article is wrong, but I hope his closing recommendation gives reason for people to check him out.

No wonder financial reporters suffer from such a bad reputation.

--Mike Buckley
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