Panic mode activated.
Printable View
Panic mode activated.
Looks like it might be time for the double down strategy again. Will let the first hour settle.
wow , thought would happen best way to shake the volume to get those msci stock
anyway showed growth slowing
Not sure ... I guess the Graham formula works quite well for long periods of consistent and sustained growth. So I guess what you might really be asking is - is it sensible to assume sustained high growth rates (above 20 or 30 %) for any company? Not the fault of the formula if you do ... and your assumptions are wrong.
And yes, high growth seem to be self defeating (getting harder and harder for a big company to grow fast), but then ... SUM other companies seem to be able to do it :P;
If we look at ATM - I guess if A2 Milk becomes the next big thing all over the world and nobody else dives into it, than yes, the numbers delivered by the Graham formula might be right. However - given that we see already now competitors on the horizon ... is it probably more sensible to assume lower growth rates - and see - the Graham formula is still right ;);
It just depends on your growth assumptions over the next decade or so - get this number right and the Graham formula will make sense ;);
Obviously, as we all know, there is still this big difference between value and price. Example - Crypto currencies have no underlying value but might still be quite dear (price). Grahams formula delivers one (of many possible) approximation of value, not the predicted price.
But of course, you knew all that ...
still got the gap to fill at 9.50..... market never forgets wait till au opens hammer time