The Discerning Investor
Which Came First - The Strategy or The Stock Graham's framework is designed to be sector independent, and comes very highly recommended. But his rules are extremely selective and very few stocks clear them. That's precisely why they give great results. But Graham's framework is also unpopular for the same reason; because few stocks fare well against it. (It's not much use for writing articles. In short, good for investors; bad for analysts!) In the end, it's a personal choice. Does one pick stocks based on a preferred strategy, or a strategy based on one's preferred stocks? The answer - for both investors and analysts - is obvious, and they're not the same. GAAP vs Non-GAAP Earnings A businessman interviewing job applications for the position of manager asked each applicant only one question, "What is two plus two?" The first interviewee was a journalist. His answer was, "Twenty-two". The second was a social worker. She said, ...