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

To: Wallace Rivers who wrote (5088)	10/1/1998 9:57:00 AM
From: jeffbas	Respond to of 78523

The answer to the question is that you shouldn't invest in the long bond at a P/E of 20 if the good company at a P/E of 10 is not going to a P/E of 4. New Holland is instructive here, where some good folks on this thread thought it was worth buying at a P/E of 8, only to see it drop to a P/E of 4. It was only when Fiat stepped up to the plate to buy 1/2 the public stock that I felt OK buying it. Not many companies will have that kind of support.