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Originally Posted by reckless
We're getting very close to a generational buying opportunity in investing, especially if one's horizon is in years and not minutes or hours. Day traders, chartists, business TV gurus, nor 'players' see this lifetime chance, and that's OK by me.
If one's time horizon is in fact longer than the hours between Squawk Box and The Five... then it will bode you all well if you start and begin a purchasing plan right now, and through the 1st Quarter of 2017.
Stay away from mutual funds, ETFs and the like, plus those very risky and over-priced bonds and commodities.
Buy individual stocks! There are dozens and dozens of companies right now selling at a fraction of their intrinsic value. Some could get even cheaper, I understand, but to try to time a bottom will be both silly and costly.
Today, Gilead Sciences will probably take a hit because the Street says it had a 'disappointing' quarter!  Use the next 2-3-10 days as a buying opportunity to accumulate shares in one of the greatest companies on earth.
Gilead Sciences has tons of cash, grows it's Free Cash Flow at double digit rates and currently sells for about 6 times 2015 FCF!! The company is worth $144-150 at a bare minimum and is closer to a $225-250 stock in three years. Plus you get a growing dividend while you wait.
Oh yeah, it produces a life saving drug to those suffering from Hepatitis C -- yes, you read correctly, a life saving drug.
There are many additional great companies selling at either fire sale prices or at best, below intrinsic value right now. Don't miss this chance. |
I had to read this post a couple of times, but still couldn't find the /sarcasm tags.....are you serious?
Your assumptions that longer term small caps will grow is possible, but relies on things staying pretty much the same, with the Fed continuing to print madly, and somehow the U.S. staying out of war. That's a bad bet, IMHO, in the age of an empire in decline, and the rule of law for the oligarchs pretty much non-existent.
Many of the brighter minds of economics are betting on a huge deflation event. If that occurs, then a $140 stock today may be trading for $25 three years from now, if not out of business. Anything in health care is only a few pen strokes away (nationalized medicine or tossing Obamacare into the ditch) from skyrocketing OR dumping. Gun and ammo manufacturers are in the same boat. Durables like cars, washing machines, etc., are harder to come by when almost 100 million are not in the work force, and those remaining with employment are often taking a pay cut.
Our infrastructure is falling apart, and with the various levels of government scrambling more and more to balance their budgets with increased revenue, they're finding the lemon has been squeezed, peeled, grated, has no more juice, and the lemon orchard has been chopped down for firewood.
What does war usually do to an economy? With all the saber rattling going on, that seems a pretty good bet. Perhaps some defense stocks?
For now, I'll stick to short term trades. But if someone was going to hold a gun to my head and make me buy stocks that I had to hold long term, I'd be looking at petroleum or water companies. And that's about it....
