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

To: E_K_S who wrote (61943)	5/8/2019 4:02:27 PM
From: bruwin	Read Replies (1) \| Respond to of 78683

But more often than not "The Market" LOOKS AHEAD and that is usually reflected in a company's current share price, and the interaction between Price and Volume. As things stand that's not looking too encouraging at the moment. " Do the remodel, update the furnace/plumbing/roof and you have a great new investment>" Hmmmm ... Yes, well ... so one has a nice remodeled structure, BUT does that guarantee that you will fill it up with rent paying tenants or the sale of all of the apartments at a good profit ? " ...but this (to me) is exactly what investing is (buy undervalued assets)" Undervalued based on what in BGS's case ? From its latest 10Q its share price is 67% greater than its Book Value (i.e. Liquidated Value). If it was the other way around I could maybe understand it. "carry a huge Goodwill component" Not always easy to "financially quantify" Goodwill. Accountants can often be very "free and easy" with the monetary value that they place on "Goodwill". But the way I see it, if the CEO is as Smart as you believe, and that is actually how it is, then the future success of his strategy and business model should start to reflect in BGS's future Financial Statements. Now you may want to "take a bet" at this early stage. That's fine. For me, I prefer to see "the proof of the pudding". And if that costs me to lose 15% or 20% in the initial rise in BGS's share price, because of that improvement, then that's OK with me, because it will then very likely be the case that there would have been an improvement in BGS's Fundamentals followed by confirmation within its Technicals, and the Risk should be relatively low .....