CW,
I, and others here, know finance, understand your terms and
logic, and even am aware that some do make a good living trading
on firms in the first stages of their growth cycles. Dell, Microsoft
Cisco, and PSFT definitely falll in this category IMO. You may certainly
be one of them, and your knowledge base is superb. You should
realize that not one good value investor takes PE or P/B at
face value, and there's a good chance that Jim and I and others
spend as much or more time with proxies and 10k's,
especially with respect to cash flow statements and management
discussion, as you. In any case, I wonder about the relevance of
all these arguments to Buffett's method of investing, and to
the purpose of the thread, which is not to be a "Hot Subject" but
rather to focus on stocks Buffett might buy if he weren't so
limited to the largest of market caps, and to analyze his method
of investing, which is so firmly rooted in historical predictability as
a proxy for risk management.
Merry Christmas all,
Mike |
