intrinsic value
I Love Bear Markets – Look at All the Value It Has Brought Us! Part 1
2019-01-25
Introduction Although most investors hate bearish stock market activity, value investors – like yours truly -relish them. Moreover, bearish market activity becomes especially welcome after extended periods of high valuation like we have been experiencing since calendar year 2014. High valuations make it very difficult for value investors to find attractive common stock investments. Consequently, […]
Nvidia: The Correction Was Justified and Valuation May Still Be High
2018-11-30
Introduction Nvidia (NVDA) operates as a visual computing company that engages in the design and manufacture of computer graphic processors, chipsets and related multimedia software. As a result, the company is involved in many exciting technologies that are either already mainstream popular and technologies that offer enticing future growth prospects such as self-driving automotive technology. […]
Did IBM Buy Red Hat at a Fair Price?
2018-10-31
Introduction On October 23, 2015 I wrote an article titled “Retirees: I Did Not Buy IBM to Sell; It’s about the Dividend Income Stupid.” At the time I published the article, I was long International Business Machine (IBM) and remain long today. With the article I attempted to illustrate why I was including IBM in […]
Whirlpool Corporation: Do You Have the Guts To Be Greedy While Others Are Fearful?
2018-10-10
Introduction After today’s price drop, and frankly even before that, I thought that Whirlpool Corporation (WHR) represented a unique opportunity to invest in the world’s oldest and largest appliance manufacturer at extremely undervalued levels. I understand that there have been issues, but I see nothing that would suggest that the price should be this low. […]
Why a 15 P/E Ratio Represents Fair Value for Most (not all) Companies: FedEx Part 2
2018-09-27
Introduction One of my favorite Warren Buffett quotes is “investing is most intelligent when it is most businesslike.” The reason this quote resonates so much with me is because I believe it represents the essence of value investing. To me, value investing is about positioning yourself as a shareholder/owner/partner in a wonderful business that you […]
Sound Valuation Is More Important Than Time In The Market: Starbucks, Campbell Soup, FactSet Research Systems Inc: Part 1
2018-09-24
Introduction I believe that two of the most important investing principles that prudent investors should embrace are valuation and time in the market. Consequently, the title of this article is mildly misleading, because both concepts are extremely important towards achieving long-term investing success. In other words, I believe attempting to argue the importance of one […]