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Gold/Mining/Energy : Direct Focus Inc. (DFXI)

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To: Andrew G. who wrote (46)5/30/1997 8:22:00 AM
From: Clement   of 768
 
Andrew,

You said:
"Apparently investors are not satisfied to find a small but highly lucrative venture. I don't know what it takes to move a stock anymore. I've got some great little gems, but all I see is MSFT, INTC and IBM climbing to increasingly higher overvaluations. Don't ask me why."

I would disagree. I don't think that the world and methods of valuation change simply because of the size of the company that you're looking at. I believe that it may simply take a little longer. Sooner or later the market recognizes value and you only need to be right 50+1 (or 2) per cent of the time. Microsoft, IBM, and Intel were all small caps at one time. That's why long term buy and hold has proven to be so much more lucrative than trading.

Clement
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