The Stingy News Weekly (01/08/2012)
New @ StingyInvestor
"The New Year brings with it soon-to-be-forgotten resolutions, but here’s one resolution that investors should strive to keep: Take analyst rankings with a large dose of caution."
"The global economy made it through 2011 despite Europe’s debt problems, high unemployment in the United States and growing worries about China’s red-hot housing market. But will 2012 be as forgiving?"
Cycle bodes ill for the markets
"In June 1964, the real return over the previous 15 years averaged 15.6 percent a year, the highest that figure had ever been. The stock market did not begin to fall then, but it could no longer maintain the torrid pace, and the 15-year return figures began to decline. On a real total return basis, stock prices hit their highs for the era in late 1968, and by the mid-1970s were in free fall as high inflation combined with a bear market. By 1979, an investor who bought stocks in 1964, when the market seemed to be a sure moneymaker, had lost money after adjusting for inflation, even after including dividend income."
Open letter to Apple shareholders
"You see, one day a competitor will come along and cut our core product line out from underneath us. We will need all the cash we can muster to fend them off. When that cash is done, we will mortgage the company. The first several times we may be successful. However, as is always the case, eventually time will get the best of us and we will be unable to meet our creditors demands. We will go bankrupt. Our creditors will seize the equity and the shareholders will be left with nothing and having made zero return on their investment. To our original investors, who are truly dear to us, we can only hope that you have long since sold out to some greater fool. If not, please do so at your earliest convenience."
Why you can’t find heritage poultry
"But here’s what hasn’t been said about supply management: It is the enemy of deliciousness."
Newspapers, Paywalls, and Core Users
"This may be the year where newspapers finally drop the idea of treating all news as a product, and all readers as customers."
Scouring the market's bargain bin
"As a long time value investor, one of my favourite research tools is the famous Ben Graham “net-net working capital” screen. This analysis begins with current assets – typically dominated by cash, accounts receivable and inventories – and then deducts all liabilities, not just current liabilities, to arrive at a net working capital per share value. No value is given to fixed assets such as plant, machinery and real estate, nor to intangibles such as goodwill, patents, licenses or other intellectual property."
DOW 30 Value Screens
S&P/TSX60 Value Screens
The Rothery Report
(Learn More | Subscribe)
The Rothery Report provides research on select deep-value stocks in North America. Discover overlooked and undervalued stocks in quarterly investment reports which provide detailed analysis of Canadian and U.S. stocks. Weekly email news and additional updates keep subscribers informed about new opportunities and developments.
Graham Value Stocks
The Graham Value Stocks letter is designed for investors who want to keep up with our sensational stock selection methods inspired by Benjamin Graham. We comb through mountains of data to highlight U.S. and Canadian stocks that we believe to be both cheap and relatively safe.
|Disclaimers: Consult with a qualified investment adviser before trading. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, financial advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. More...|