Seeking Alpha

Eric Fox » Comments » Single Comment

  • Does Valuation Matter? [View article]
    rickf..you said "The past year it's been all about emotion and psychology, not value -- meaning momentum is key."

    It seems that it is always about this.

    Also, you are assuming that valuation always has to do with earnings and since you have no faith in analysts or company management then you have lost faith in value investing. Valuation can be based on assets as well. All the stocks you mention looked "cheap" because the book value had not been updated and since the price had declined they seemed "cheap." Many of them were also extremely leveraged - another thing that value investors avoid. The lesson - just because a stock is down 50% does not make it a value stock or a good investment.
    Jul 05 09:33 am |Rating: 0 0
All Comments by Eric Fox »
Comments by Ticker
AA, AAPL, ABK, ABT, ACEAF.PK, ACH, ACMR, ACS, ACXM, ADP, ADSK, AEM, AEO, AET, AFFM, AHBIF.PK, AHL, AIB, AIG, AINV, ALL, AMD, AME, AMP, AMT, AMX, AMZN, AN, APA, APC, APOL, ARP, AVID, AVTR, AVZA, AXA, AXP, AXS, AYR, BAC, BAGL, BASFY.PK, BAX, BBBY, BBSI, BBV, BCPC, BDK, BEAS, BGC,
Eric Fox's
Comments Stats
230 comments
Rating: 43 (51 - 8 )