Comments on: Beware of Phrases Like "Cheapest in 20 Years" http://www.peridotcapitalist.com/2008/02/beware-of-phrases-like-cheapest-in-20.html Stock market and investing blog published by Chad Brand, Founder/President of Peridot Capital Sat, 11 Feb 2012 23:26:23 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Anonymous http://www.peridotcapitalist.com/2008/02/beware-of-phrases-like-cheapest-in-20.html/comment-page-1#comment-842 Anonymous Mon, 03 Mar 2008 18:20:00 +0000 http://www.peridotcapitalist.com/?p=559#comment-842 I disagree. Although it is true that future growth might not be as good to justify the average multiple from the past, you almost always have some degree of margin of safety when a company trading at 20 year low on P/E. It's certainly a good indicator that it's time to do some more analysis. <br/><br/>Brian,<br/>Earnings are meaningless?! I've heard that argument before.... I disagree. Although it is true that future growth might not be as good to justify the average multiple from the past, you almost always have some degree of margin of safety when a company trading at 20 year low on P/E. It’s certainly a good indicator that it’s time to do some more analysis.

Brian,
Earnings are meaningless?! I’ve heard that argument before….

]]> By: Brl4n http://www.peridotcapitalist.com/2008/02/beware-of-phrases-like-cheapest-in-20.html/comment-page-1#comment-839 Brl4n Sat, 01 Mar 2008 17:06:00 +0000 http://www.peridotcapitalist.com/?p=559#comment-839 Indeed. If someone on TV says this I immediately discredit almost everything they say. Other metrics should be used as P/E is almost meaningless when you really analyze a stock. Fundamentals are key. Technicals are reassuring. Indeed. If someone on TV says this I immediately discredit almost everything they say. Other metrics should be used as P/E is almost meaningless when you really analyze a stock. Fundamentals are key. Technicals are reassuring.

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