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

To: Chuzzlewit who wrote (759)	12/24/1998 1:13:00 AM
From: James Clarke	Read Replies (1) \| Respond to of 4691

OK, so you have conceded a value investor at least knows what he is talking about. So why do your past returns justify buying Dell (or the example you used) now. If the future is what you are investing in - which goes without question for even a value investor - past returns are irrelevant. (Although as a value investor I might consider the fact that a stock has gone from 1 to 60 in five years a very big danger sign). You were right in the past, and you made a lot of money - congratulations - I wish I had invested when you did. But the question I was working on is the risk at the current valuation. And your assessment of value investment logic is so juvenile as to discredit your obvious experience as a successful investor. Clearly value investing is not about just looking at the P/B ratio any more than intelligent growth investing is about just buying the company that grew the fastest in the last five years. And I think you know its not about buying gold companies. You know better than that.

To: Chuzzlewit who wrote (759)	12/24/1998 9:14:00 AM
From: cfimx	Respond to of 4691

>>I also note that the attacker has yet to retract his foolish comments, but insists instead, on twisting my comments to fit his prejudices.<< That's because they weren't foolish comments. And my original post was hardly an attack, though it obviously struck a SENSITIVE nerve. You may have fooled some of the people on this thread, but you haven't fooled me. I asked you a simple, direct question. You first avoided it, until I asked it again even MORE directly. Then instead of ANSWERING the question, you did an awfully silly tap dance around it, with some Soros like structure ( I don't GET his mumbo-jumbo either), claiming to clarify things, but instead you kicked up dust and CLEVERLY shifted the focus OFF of YOUR burden and ONTO the questioner. A tried and true debating technique that has now been exposed for what it is. It doesn't bother me in the least that others didn't pick up on this. I DID and that's all that matters. But your avoidance of a simple question tells me the Emperor has no clothes. When you finally slink back to the DELL thread, don't forget your fig leaf. PS: Dell is selling at 50x 2000, not 44 x as you suggested. No matter, P/E ratios are useless anyway.

To: Chuzzlewit who wrote (759)	12/24/1998 11:32:00 AM
From: Fredman	Read Replies (1) \| Respond to of 4691

When you speak of buying companies solely by the numbers reflected in the current P/E, and also taking into consideration market indices, such as, you pointed out Gold: Go look at some Oil Services, there are some LOW P/E's- go look at TDW, MRL and GLM, to name just 3, all have P/E's of less than 9, i believe, and TDW's is 5. But when you factor in the price of a barrel of Oil, you have 3 great stocks running at near 52-week lows. So given the great PAST P/E versus TODAY'S price of Oil, are these 'Value Buys' today or not ?? I guess it depends on if you 'trade' or if you 'invest long' ??