Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: sjemmeri who wrote (15936)	12/18/2002 11:44:52 AM
From: Paul Senior	Read Replies (1) \| Respond to of 79053

I'll re-look at MCD. I would like to know if anyone's aware of an analysis of this stock that takes account of all the prime real estate MCD has acquired over the past decades that has increased in value but has been depreciated on the books over so many years. ------- About picking the leaders in a sector: I am always struggling with which stocks to buy within a downtrodden sector. Is it the market leader(s) that analysts will focus on and most investors know and look at first? Is it the most leveraged which might show the greatest earnings gains when the sector has good times again (assuming the leverage doesn't wipe out the company meanwhile)? Or perhaps the most downtrodden stock --which might give the greatest stock market percentage gains if or when the sector comes back and pulls up the stocks in it? Or might there be a company in the sector that appeals to a consolidator or perhaps a different company in the sector that might appeal to a new entrant tying to establish a position? How about considering the cheapest company on a price/sales and/or a price/book and/or a ROE or sales growth basis? Over the years I have learned about me that if I try to pick one from among the choices, I usually make the wrong choice. Therefore you will generally find me making several selections. I'm not sure that is the best way financially - I don't net gains and losses by my stocks within a sector and measure against individual performers in the sector - but this diversity does, for me, make for a much much more liveable investment situation. So as regards restaurant stocks, I have a little YUM I started in November as well as other restaurant stocks I've mentioned over the years. I'm currently buying to build up a small position again in SWRG.