Burt - Re: Past Doomsayers"
Thanks for your suumary about those who clim to know the future. it was well thought out and timely.
Other names you may have neglected - "Jiggy", "Mo Chips", and the best - "Fuchi - who loves Cyrix Innovations"
My guess is they are now working a second job to pay off their short selling losses.
As for the future, your approach is quite sound - Re:"
locating solid companies with bright prospects
whose future has been overlooked or undervalued by the
market."
Let me add one anecdote of my own. About 3 1/2 years ago, when Intel's strategy began to get the attention of Wall Street, they reported quarterly earnings (I'm guessing this was in January or April, 1992 or 1993) that were way above the estimates.
One analyst (I think it was your friend Kurlak) claimed that Intel could NOT keep up these earnings in the future, and slammed the stock. It lost 3 or 4 dollars that day!
The SAME day, Briggs & Stratton (of Lawn Mower Engine Fame) reported their earnings, which matched expectations, and their stock was wildly praised by analysts, rising $1 1/2 or $2.
Conclusion - If analysts cannot determine the strategic importance of Intel with respect to a Briggs & Stratton, then what good are these analysts?
Identify companies with excellent strategic technology, manufacturing skills and management - buy their stock and hold on for the long term.
I believe this matches your modus operandi.
Paul |
