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

To: Harshu Vyas who wrote (74074)	10/27/2023 1:41:03 PM
From: Sean Collett	1 Recommendation Recommended By E_K_S Read Replies (1) \| Respond to of 78525

<< I bought the dip on Meta (sold way too early for a 40% profit) - and it still proves my point. How long was Meta undervalued for? A month at best. A speculator's dream.>> So because Meta corrected quick that didn't present a value opportunity? That's pretty much what we're looking for are companies that are trading below a intrinsic value and buying in before Mr. Market realizes its not priced correctly. And you can take a legit value scenario where Meta lost some 40% share value due to the Cambridge situation in 2018. Now, we can all debate if Meta is indeed a value company at any price, but I just use them as a big tech example on how you can still find value opportunities :) << I think everyone on this thread understands that Buffett never "overpaid" for any business>> Uhhh...sure we do understand, that's why we're all here. Mr. Market is wrong quite a bit though and there are books written where Mr. Market perceived he overpaid at the time. Just because you're a value investor and realize he didn't doesn't mean Mr. Market knew what the real value was at the time. -Sean

To: Harshu Vyas who wrote (74074)	10/27/2023 4:03:53 PM
From: Spekulatius	Respond to of 78525

I think everyone on this thread understands that Buffett never "overpaid" for any business. But even Coke he bought at, what, 15x earnings? Still cheap by any measure. (If memory serves me well.) I don't ever recall WEB paying more than 15x earnings (unless he was investing in a turnaround or special situation) for anything. the smaller buys you see in Berkshires portfolio with higher valuations are most likely T&T position.

To: Harshu Vyas who wrote (74074)	10/27/2023 4:27:07 PM
From: Paul Senior	2 Recommendations Recommended By E_K_S Spekulatius Read Replies (3) \| Respond to of 78525

"I think everyone on this thread understands that Buffett never "overpaid" for any business..." Very presumptuous of you to say this. I was a holder of Precision Castparts when Buffett in 2016 made his offer and acquired it. The stock was down but still expensive. P/e was over 15. (Maybe closer to 18-19x) I couldn't believe he would step in and buy at the price he offered. I had a few shares and was happy to get out. He said it was a great company, and he'd been watching it and admiring it for many years. Years later he admitted he overpaid for it.