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

To: James Clarke who wrote (943)	1/4/1999 11:58:00 PM
From: Paul Senior	Read Replies (1) \| Respond to of 4691

Hi Jim. You raise points exactly why Buffett doesn't work for me. Because I was there when he made all those buys. They were public. So when you say 'what did these companies look like?' or 'what did Coke look like to every one else?'. At best, an indifferent investment to EVERYONE else - and I mean the analysts who covered the industry (industries), the financial press, the pundits -- you never saw them say buy. Of course, even in the 70's Buffett's reputation was known and written about ('oversexed man in a harem' article from Forbes regarding Washington Post). And yet even with that reputation, imo NOBODY in the the public eye came out with any support for buying. NOBODY. And it happened over and over -- General Foods, Solomon, more. So the lesson for me is, if I couldn't even see any such investment when it was in front of me, even knowing success rate with his previous purchases was close to 100% - and nobody else saw a golden investment opportunity either---then I think there is no hope for me in finding and buying 'Buffett' stocks. And because no professional who analyzes stocks could see his genius -- then I claim nobody can duplicate his methods. Therefore, I conclude efforts by people on this thread to find, purchase, hold a Buffett stock -- are doomed. Aside, your wife's right imo. Best value investors are cheapskates. (I'll put you in among the few exceptions -g-.) Just my opinions, Paul.

To: James Clarke who wrote (943)	1/8/1999 11:16:00 AM
From: Robert Douglas	Respond to of 4691

Has the thread ever discussed Southwest Airlines? I am aware that WEB had one of his few slip-ups in the airline industry, and perhaps this highly competitive industry is anathema to Buffettologists. Is it, however, out of the question to propose that Southwest has something of a consumer franchise? I know several people (customers of Southwest) who swear by them and show great loyalty. Isn't this the hallmark of an ongoing brand name? Growth has been consistently in the upper teens and profitability has been as steady as you get in this admittedly cyclical industry. I apologize for bringing this up on a day when the stock is up sharply on a brokerage house upgrade. I own the stock (for several years now) and am faced with the decision on whether or not this is a long-term keeper. Clearly its valuation has risen to the point where it is historically rich and unless an investor believes there is franchise value there it probably is fully priced. -Robert