Jack,
Thanks for the informative post. Been a Gilder subscriber for three years......after reading his stuff in Forbes ASAP prior.
Also grabbed a subscription to the Huber/Mills powercosm newsletter. That group of stocks (PWER, IRF, EMR, AMSC, SYXI, etc.) seem to be moving along the lines of GG's picks last year.
From my viewpoint within the financial services industry, I see the 'valuation' question as being critical to one's timing of GG's recommendations. I can recall buying QCOM at about 18x current earnings and 1x revenue. Uniphase, prior to the JDS-Fitel merger was also modestly priced in the 30's (Pirior to a number of 2-1 splits). National Semi was trading 8-13 (at a a very very cheap valuation ---they don't call it National Smash for nothing) while Conextant was in the 20's before launching a huge move.
Today, it seems the investing public is willing to pay any PEG ratio, any PSR, any PE without giving it a second thought. Thus, when the market breaks down GG gets the big backlash and a internet whuppin from subscribers or followers.
It would be interesting to see a spreadsheet geared towards fundamental measurements of GG's picks when first recommended versus where they are today. It might prove useful to those wondering which of his selections might be a reasonable value today.
Jack, thanks again for posts. You save me an inordinate amount of time surfing GG's awkward site and I appreciate your efforts. |
