Now is the Time to Buy Fairfax Financial -- Not Short it (FFH)

I bought more of Fairfax Financial (FFH) today -- boosting the amount of shares I owned by 30%. I paid $92 this morning and the stock closed the day at $96.90.

Fairfax was first recommended here in May 2005 at $132.50 per share. That makes the average price $123.16 for the purposes of the blog’s readers.

Remember, my average cost for the company had been $125, having owned it long before launching this site. So my personal average cost is $117.39.

WSJ.com reports extensive short activity with the stock. I thought the shorts were wrong about Deckers Outdoor (DECK) and was proven right.

I’m betting the shorts are wrong about Fairfax Financial, too.

FFH 1-yr chart: