Value Investing

[CalTrader]

Quote from Willybob:

You don't have the worlds largest economy anymore!

The European Union does.

Japan was the second largest when it went tits up, what makes you different? By earnings ratio's your markets are way over priced compared to the past.

Where can you go from here to stimulate your economy?

Interest rates have little or no room for manouvre, your Government would have to dig deep (both physically and philisofically) to increase spending. Consumers are going to be nervous given the likelyhood of war and further terror attacks.

So please do tell how you are going to stimulate an economy that is obviously stalling?

I know, how about obtaining a lot of oil revenue...

Yes. EU is larger. My reading of the things is not as dire as yours. Average PE is not necessarily the best way to measure future share price although it is something to consider.

Want to make a wager on the dow 2 years from now ? I would not take the position that it will be 4000 .......

 

[white17]

Quote from Corso482:



So if the true skill isn't in finding cheap companies, but deciding whether their cheapness is do to an insurmountable problem, then the process is highly subjective, and therefore you CAN lose.




Corso: Not sure I follow your thinking here. If a problem with the company is truly insumountable, I don't see that as being subjective. That strikes me as pretty objective. The difficulty is in finding the problem I would think. I do agree that even in the best of setups you CAN lose but I think P2's approach lessens the odds against you particularly over time.