Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Bob Rudd who wrote (7337)	5/27/1999 11:58:00 AM
From: Paul Senior	Read Replies (1) \| Respond to of 78625

Hi Bob, "the price of a business underestimates the earnings flows going forward". Well, I'd generalize by saying value investors focus on the balance sheet, and Buffett investors maybe focus on the income statement. People here posting their predictions for their favorite stock's earnings in '00 or '01 or '02 or maybe even in '99 -- they kind of are ignored or they get a rasberry (-g-) it seems to me. Actually very few people put out such earnings projections here. And only a couple of people ever seem to use a DCF model (although perhaps very successfully). So if you are saying that "value investors in a going concern" invest this way (business price vs. earnings flows), then you are either incorrect, there is a definitional issue (people on the thread are not 'value' investors), or perhaps people won't post or share their analysis or predictions. Here's what I am saying. Enhancing learning by broadening one's scope, one's outlook of the world, studying strategy, etc. -- all great stuff. Does it enhance an investor's stock market performance? It should-- but does it? Where's some evidence that this is a profit making activity for potential investors? Even anecdotal evidence. The professors who teach us strategy - Porter, Mintzberg, Strickland, Grant, Worley, etc. -- they claim no success (as far as I can tell) in stock market prowess. Same issue and argument for Economics and econ. professors -g-.