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Strategies & Market Trends : Value Investing

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To: Jurgis Bekepuris who wrote (46656)2/17/2012 12:32:42 AM
From: Spekulatius  Read Replies (1) of 78763
 
>>without noticing it: most of lifetime stock successes are small caps that grow fast and more than anyone has expected. The megacaps like NSRGY or KO or JNJ may have been lifetime stocks. They won't be such in the future. It is impossible to grow at tremendous rates at these sizes.<<

Nestlé was the largest food company when I purchased my first shares. In fact they were at keystone of the largest food companies, when I first noticed found the shares in 1982. They don,t have to grow that fast (in fact they never have) but they were good at capital allocation. Ahem consistently buy back shares in particular when they are undervalued, they grow in the low singe digits organically and then add some with acquisitions. I think they can continue what they do for another 10-20 years, maybe longer.
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