SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Gorilla Game
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: SWF-Steve who wrote (318)11/10/1998 12:14:00 AM
From: Shane M  Read Replies (1) of 387
 
Steve,

While I like the arguments and points put forth in the book, I was disappointed in the lack of price discipline built into the strategy. Reading the book, you can come away with the impression that no price is too high to pay for a gorilla. Price is almost irrelevent.

To successfully implement the strategy I think we should all consider what prices are too high to pay for a given stock. P/S ratios are one of the primary valuation measures I've begun using with gorilla candidates. I find it helpful to look back at the P/S trading ranges of successful gorilla's, such as MSFT, CSCO, INTC, ORCL, etc. There comes a point where the market just won't pay more for a gorilla, although MSFT and CSCO are both testing their historical limits now.

Shane
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News