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

To: Madharry who wrote (38257)	6/11/2010 11:04:02 AM
From: peter michaelson	Read Replies (1) \| Respond to of 78611

In other words, GS was over-valued in 2005?

To: Madharry who wrote (38257)	6/11/2010 11:24:15 AM
From: Dan Meleney	Read Replies (2) \| Respond to of 78611

GS & BP..I just took average positions in each. I see GS risk as the same as other banks in that there may be assets overvalued or risks underreserved. For BP, I was waiting until it seemed they have some control over the continuing spill, and I estimated expenses and fines; They can take quite a hit (one-time) and still come out strong. For both, I found P/BV and P/E compelling, even after adjusting for cash lost to fines & spill.

To: Madharry who wrote (38257)	6/11/2010 12:08:19 PM
From: Spekulatius	1 Recommendation Read Replies (1) \| Respond to of 78611

re GS - it's clear that GS looks like a value play but just look at what happened to BP when they got the wrath of our government. Sure BP's wrongdoings are much more evident but then GS as a financial institution is much easier to destroy than a oil major. I think the BP story is very relevant not just for those owning BP stock but also for other cases that are embattled by our government. A criminal indictment and GS stock will be below 100$ in a heartbeat. I can't predict if this is going to happen but i think the possibility is very real.