Anatomy Of A Lucky Buy: The Greenblatt Model, Ross Stores, And A Moment Of Opportunity
- Two months ago I took a position in Ross Stores amidst climactic selling at the recent low.
- Though ignorant of retail I had watched Ross for several years; its consistency and growth made the opportunity seem greater than the risks.
- Ross had fallen about 20% from its high in the first half of 2014 when a downgrade by Sterne Agee knocked it down to my buy point.
- It was a lucky buy, but backed by long consideration, and I expect to hold until something changes for the worse.
- The important takeaway is not Ross per se, but the process by which I came to buy it.