Contrary to the demise of coal usage, the railroad stocks are not dead yet. The road and rail industry has trailed the S&P 500 in performance throughout 2012. However, my analysis indicates that the rail stocks are undervalued and should be considered as a buy. Last week, Goldman Sachs issued this report: Goldman Sachs resumed …
Railroad Stocks Look Attractive at Current Prices Read More »
As of 12/31/2011, Berkshire Hathaway (BRK.B) owns 34 stocks with a total value of $66.2 billion. The classic value investor Warren Buffett made a number of stock moves during the 4th quarter of 2011. These are the details of the buys and sells. Added: CVS Caremark Corp. (CVS) Warren Buffett added to his holdings in CVS …
Based on Grey and Vogel’s research paper called “Analyzing Valuation Measures: A Performance Horse-Race over the past 40 Years,” the best valuation measure wasn’t the classic price-to-earnings (P/E) ratio. It’s something similar to the P/E ratio though, with a more intimidating name: “EV-to-EBITDA.” Grey and Vogel found that buying the cheapest 25% of stocks based …
