KO has 6.7% sales growth and 0% earnings growth
with only slight improvement expected for next
OBviously this stock deserves a pe of 45. Why not 50 or
with growth rates this explosive.
cant tell, KO looks overvalued to me.
disclosure i will say that i am buying Feb puts on
and this is the only time i have purchased puts.
No one can see the future but it is a good bet
that KO is a good long-term investment.
HD are both good companies and both might be over
priced. HD has better growth at the moment but KO has a
brand name that is recognized all over the
I think that KO has plenty of downside risk
currently because of the problems in Asia and Latin America
but those problems will eventually go
seldom Coke but often Minute Maid Orange Juice (a ko
I went to the Torontoinvest web site that was in
your last post. In the "Charlie Munger Speaks" article
is the following statement:
"In the United
States, a person or institution with almost all wealth
invested, long-term, in just three fine domestic
corporations is securely rich."
I believe that is a
My question to you is, what is
your recommendation of 5-7 stocks from which the magic
3 could be picked. As you know by now, Coke and
Home Depot are two of mine.
Looking forward to
I am prepared to wait since I have over 20 years
before I will need to cash out of my investments for
retirement. Just to make sure I was not making a major
mistake after reading your post, I printed the Yahoo
price graph of KO vs. the S&P 500 for the maximum time
period (25+ years). Looks like a good investment for my
retirement. Are there companies that will do better than KO
over the next 20 years. Yes. One that I think will is
HomeDepot. I'm in their DRIP also.
KO is part of my
diversified portfolio. If I could have predicted the future
12 months ago, I would have morgaged the house and
loaded up on internet stocks. Unfortunately, I cannot
predict the next 12 months either. I could guess like all
the Wall Street types, but it would only be a guess.
KO may not be the best stock in the market but it
ain't too shabby either.
Usually Coke but
Does anyone else think that the estimated 700-800
billion moving into the market will be heavily weighed
towards the S&P 500 stocks (and possibly KO)? I think
that the board that will eventually oversee the funds
will want that money to be relatively stable, but
appreciating at least 7-15% annually, which sounds in line
with most of the blue chips. Just wondered if anyone
had input on this...
hey..the price you don't want to pay for msft
would now appear to be 200 (or somewhere near
there)...no? when you mentioned short that a few mo ago i
thought you we're playing with fire...(right up your
alley eh)....i too would bet against intc (if i had
your guts he he)
isn't GE a little like
way...some will survive...who?...at home
absolutely right on the game is fast ....in/out..don't stand
still for too long.
here's something i came
across you may find of interest regarding market
tops...(and could negate the neccessity of your becoming the
last to turn bullish)
PAST PRESENT FUTURES -
For subscription information call (800)
or e-mail email@example.com
While it is true that the next major wealth building
phase on Wall
Street will be in commodities, I would
not want to underestimate the
strength which could
be demonstrated by the stock market between
and September 1999. The final "blow-off" advances
during historic bull
markets like 1929 in the U.S.
market and 1989 in the Japanese market
exceptional as prices surge higher on investor euphoria.
W.D. Gann said, "at the end of major yearly time
cycles a great deal
of money can be made in a short
period of time". Needless to say, our
qualifies for this kind of consideration.
What is most appealing about the
geometry of this market is the
consistency of the
corrections on the way up. The 2 month, 17 day
between July 20 and October 8, 1998 fell eight days
of the 2 month, 25 day decline in 1990. We have now
incredible 14 years with no correction
exceeding 2 months, 25 days. As
a result of this
consistent runaway pattern, we do not have to agonize
guess when a final top will be in place. As soon as the
declines more than 2 months, 25 days, regardless of when
it will be megaphoning that the bull
market is complete. In our book,
"How To Profit On
the Major Moves In Futures and Options"
with your subscription) we explain the importance of
overbalancing dynamic. "Anytime a market (any market) exceeds
largest point decline or the largest time period of the
the way up in a bull market, it is showing
that the momentum is
shifting and that selling
pressure is finally overcoming buying
pressure. (In our
market, this has not occurred since 1984). In
Gann's list of 'Rules To Determine Selling Levels' he
when the first decline from the extreme
highs exceeds in price and
time the greatest
correction in the preceding bull campaign.'
overbalancing will be even more critical in our stock market by
of two facts. 1. The length of time has been so
great in this
uninterrupted advance 2. The
corrections have been so short-lived. I
am confident this
will allow us to sell out of investment
and enter short positions very close to what will be
the final highs.
earned $1.50 a share and the stock sell for
around $63 dollars a share. A 3% dividend would come to
$1.89 and this is more than the company
Even worse, the earnings are flat and may even dip.
The only way for the stock to pay a 3% dividend is
for the stock price to drop. Three percent of $30 is
90 cents! Is that what you want?
There is a price you don't want to pay for
Microsoft and we are rapidly approaching it! Not a bad day
for shorts. MSFT was one of the only losers. My
shorts were as follows: Intel - 1 1/8, GE - 15/16, AOL
-2 1/16, CCE -1 3/4, SCH +3 5/8, MSFT +6 7/8, YHOO
-35 13/16. Up about 2% today which is a major
accomplishment considering the roaring start we had on the day.
Obviously, the majority won't have a chance when it gets
rolling on the downside. Look at the behavior of Internet
stocks today. Most people who had do go to work today,
probably don't know what hit them! I sure wouldn't want to
be long right now!