When it comes to owning stocks of the best-known businesses in the world, value investors usually feel like children looking through the window of the candy store, unable to afford the treats inside because they refuse to pay the prices such high-quality franchises typically bear. Whitney Tilson Read Quote
Many significant stock-price inefficiencies can occur when a company is spun off. Whitney Tilson Read Quote
When high-growth companies slow down, growth and momentum junkies often sell indiscriminately, which can create great opportunities for value investors. Just be careful not to anchor on the stock’s previous price or earnings multiple, which are no longer relevant. Whitney Tilson Read Quote
While I take no pleasure in others’ misfortunes, we’ve historically made most of our profits from other investors behaving in a panicked and irrational fashion and selling us certain stocks at prices far below their intrinsic value. More volatility equals cheaper stocks, which equals higher returns. Whitney Tilson Read Quote
Nirvana, to a value investor, is paying a cheap price for a company that is growing in value every year at a nice rate – this largely explains why today we own stocks like Berkshire Hathaway, McDonald’s, Wal-Mart, Microsoft, Costco and Anheuser-Busch. Whitney Tilson Read Quote
I have long believed the corporate world is plagued by poor capital allocation decisions. Whitney Tilson Read Quote
The relative illiquidity of small-company shares – which often contributes to their being undervalued – also increases their volatility. Whitney Tilson Read Quote
Small-company stocks, like any asset class, can get picked over from time to time, but there are fundamental reasons why diligently mining them with an eye for unrecognised value can get market-beating returns. Whitney Tilson Read Quote
I have never believed that large-cap stocks are too well followed to be anything but efficiently priced. Whitney Tilson Read Quote