“In late 1999 anything with a smokestack was seeing it's stock price get smoked. It was four digit stock ticker symbol or be dead. Value managers were getting fired. Buffet was on his heels defending his traditional investment approach. It was the darkest dark before the dawn (or greatest height before the fall).
“Fast forward to 2014. Today's darlings, like TWTR, resemble a Frank Zappa lyric: "bullets can't stop it, rocket's can't stop it, we may have to use nuclear force." It seems to me that there are still too few shares for the dollars that seek them.
“So the question begs: where is the intrinsic value today? Absent a weak tape buying is like ordering another drink at midnight.”
Fabulous comment! Many thanks.
I think 2014 is the year for a number of previously unloved recovery candidates. For instance, mining shares have done well recently. So have gold and silver. Coffee, corn, wheat, soybeans, sugar and several other previously underperforming soft commodities are bouncing back.Back to top