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

To: Jurgis Bekepuris who wrote (52058)	8/9/2013 9:59:00 AM
From: AsianValueInvestor	Read Replies (2) \| Respond to of 78627

Dear Jurgis, Since you make a statement such as the legendary value investor, Ben Graham didn't think adjustments were necessary, have you actually taken the time to read the Intelligent Investor - specifically, Chapter 12 i.e. Things to Consider about Per Share Earnings? The chapter specifically goes into footnote adjustments and calculating "true earnings" - to quote Graham. I'd highly recommend re-reading this important chapter. Finally if you follow Mr. Greenblatt, he focuses on calculating "normalized" earnings - there are lots of games companies can play with accounting, footnotes, and the like and it is important to understand them if you really want a margin of safety (doesn't come from a low multiple alone, but digging through the weeds...) Good Investing, AsianValueInvestor.