Well, I understand software very well.
Oh, right Reggie. After all, isn't Visual C++ is a Microsoft product? The proper Mind of Reg(TM) context for this particular insightful remark is available on request.
Fans of the Regimodel 2000 valuation method might be interested in this article by a somewhat more widely known analyst.
Internet investors, beware news.com
This is Bill Gurley on CNet. An interesting quote:
Any financial academician will tell you that the only proper way to value a stock is to predict the long-term cash flows of a company, discount those amounts back to the present, and then divide by the number of shares. As this is much easier said than done, many practitioners often shortcut the process using tools that serve as a "good enough" proxy for cash flow. One good example is the price-to-earnings ratio. It's not a perfect measure of cash flow, and there are many loopholes, but as John Maynard Keynes said, "I would rather be vaguely right than precisely wrong."
Reggie apparently doesn't much hold with Keynes on this one. It may be easier said than done for mere mortals, but no sweat for Reggie, apparently emulating his idol Bill in transcending mortal bounds. Ignore PE, just trust that proprietary Regimodel 2000 to tell you the answers. Reggie, like Bill, only tells the TRUTH.
Cheers, Dan. |
