The Financial Post of Canada takes an interesting look today at the Benjamin-Graham-esque approach that longtime market-beater Marty Whitman uses to pick value stocks. According to The Post’s Levi Folk, Whitman’s strategy is based on the “net-net” approach that Graham and David Dodd laid out in their 1934 classic Security Analysis. (Net-nets are firms whose […]
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Archive | March, 2009
Gross: Investing “Revolution” Is On
March 31, 2009 
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In his April market commentary on PIMCO’s web site, bond guru Bill Gross says that we’ve entered a new world of economics and investing, one in which “there should be no doubt that the bull markets as we’ve known them are over and that the revolution is on. Investing is no longer child’s play.” Gross […]
Read moreStocks for The Long Run — Riskier than Stocks for The Short Run?
March 30, 2009 1 Comment
In his latest column for The New York Times, Mark Hulbert highlights an interesting new study that examines the concept of long-term risk in the stock market. The study, performed by University of Chicago Booth School of Business Professor Lubos Pastor and Wharton School Professor Robert F. Stambaugh, questions whether the concept of mean reversion […]
Read moreTilson Turns Bullish on a Few Financials
March 30, 2009 0 Comments
Whitney Tilson, whose calls about the housing bust, financial crisis, and huge government bailout have proved prescient over the past year, tells CNBC that after making a bundle shorting financial stocks he’s now finding some good long opportunities in the sector. “Valuations have compressed so much we actually flipped around and went long some financials […]
Read moreTop Timing Newsletter Turning Bullish
March 26, 2009 0 Comments
The Cabot Market Letter — one of the top-performing newsletters of the past decade — is moving back into stocks, seeing the odds as “increasingly good” that the market has bottomed. “We’ve had the snapback; we’ve had the rally,” Michael Cintolo, the newsletter’s editor, wrote yesterday. “And while a technical correction is quite possible from […]
Read moreGet into “The Glitch” — 10 Top Scoring Price-to-Sales Stocks
March 25, 2009 0 Comments
The Price-to-Sales ratio (PSR) is a measure used by many of the Guru Strategies I run on Validea.com as a way to find undervalued stocks. The ratio, which is simply the market capitalization of the firm divided by the company’s sales, has become more popular over the years as investors look for additional ways to […]
Read moreCrisis Predictors Offer Advice
March 24, 2009 0 Comments
Three of the financial minds who warned of the current credit crisis — Banc of America Securities-Merrill Lynch’s Richard Bernstein, PIMCO’s Paul McCulley, and author and former Wall Streeter Richard Bookstaber — offered their views on the current economy and what investors should do in this market on WealthTrack with Consuelo Mack recently. (Click on […]
Read moreWhat to Expect from Here
March 23, 2009 0 Comments
How quickly will stocks rebound when the current bear market ends (if it hasn’t already done so)? The New York Times’ Paul Lim offers some interesting data on that subject in his most recent column. Citing data from James B. Stack, editor of the InvesTech Market Analyst newsletter, Lim says that after the nasty bear […]
Read moreDon’t Be a Bottom-Hunter
March 20, 2009 1 Comment
The big question in the market these days seems to be, “Have we hit a bottom?” After enduring a bear market that has lasted nearly 18 months and cut the value of the S&P 500 in half, it’s certainly a reasonable question. But in the latest issue of my Validea Hot List newsletter, I explain […]
Read moreFisher: Fears are Greater, but Risk is Lower
March 18, 2009 1 Comment
In his latest Forbes column, Kenneth Fisher offers advice for those who feel like the stock market is too risky a proposition right now. “This is not an irrational fear; stocks that are off 50% from their highs (and a lot are, at this point) can keep falling,” Fisher writes. “But you can temper your […]
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