How to Think Like Benjamin Graham and Invest Like Warren Buffett

82 ATaleofTwoMarkets on that stock, it is reasonably likely that you will win; if you bet on everything that comes down the trac ...

TaketheFifth 83 economist of a prominent investment research firm who announced toThe New York Timesthat “we no longer thin kwe ...

84 ATaleofTwoMarkets our Internet site every month. Even though we don’t make money, that’s 20 million (or so) eyeballs, so we m ...

TaketheFifth 85 the 2000s produced significant shifts in the economy. Rising oil prices, for example, historically throttled the ...

86 ATaleofTwoMarkets basic facts of business life that call for investing based on an un- derstanding of a company’s business cl ...

TaketheFifth 87 the path of days when thinking about business and returns. How far will vary with the person’s age and needs, bu ...

88 ATaleofTwoMarkets Milton Friedman’s rejoinder to Keynes was that the long run is just a series of short runs linked in succes ...

P art II SHOW ME THE MONEY Copyright 2001 The McGraw-Hill Companies, Inc. Click Here for Terms of Use ...

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91 Chapter6. Apple Trees and Experience I f market price is the last thing an investor or manager shoul dlook at in determining ...

92 ShowMetheMoney than as a source of fruit. But you are obviously not competent to understand these things, so you can’t see th ...

AppleTreesandExperience 93 first deman de dto see the ol dman’s books. The ol dman ha dkept careful records and gladly brought t ...

94 ShowMetheMoney some of the original cost has to be matche dagainst revenues. A portion of the amount has to be sprea dout ove ...

AppleTreesandExperience 95 the apples at prices below what people woul dbe willing to pay an d that you coul draise the price wi ...

96 ShowMetheMoney If I were willing to settle for an 8% return, that would be 100 divided by 8, which equals 12.5. So we’ duse a ...

AppleTreesandExperience 97 “Don’t forget the risks,” she reminded him. “And the uncertain- ties.” “Quite right,” he observed. “I ...

98 ShowMetheMoney patch yesterday. According to my figures, the present value of the expecte dyearly profit is $268.05, an dto d ...

AppleTreesandExperience 99 Lessons The parable of the ol dman an dthe tree intro duce da number of alternative methods of valuin ...

100 ShowMetheMoney business, a GE, say, or DuPont or Unite dTechnologies. It is mature an dpro ductive an dhas an extensive trac ...

AppleTreesandExperience 101 That is $2 trillion—base don a quite mo dest 4% rate of return. Not only nothing to sneeze at but so ...