P/E ratios: Forward or Backward?

The stock market is a market of stocks.  Think about how everyone chooses a stock investment. You can look at the history of earnings — and you should.  Past earnings show how the company has performed, the numbers are set, and our information is as good as possible. Good analysts do not stop there, since […]

Read More

Determining the Contrarian Position

Continuing our analysis of the Contrarian Approach to investing, a concept we strongly endorse, we run headlong into the question:  Where is the crowd?  We want to be somewhere else! Much of the opinion about market sentiment is anecdotal.  Those with contacts in the hedge fund community claim to know which way positions are leaning.  […]

Read More

End of Rate Hikes a Catalyst?

Will the market rally when the Fed has finished the tightening cycle?  Is 1994 a good parallel?  The Ed Keon interview on CNBC explains it.  Look at this summary of the standard story from Doug Kass via Barry Ritholtz, then refutation from Ed Keon. Link: 1994 Parallel?. The delightfully impish Doug Kass (The Anti-Cramer) looks […]

Read More