Value Investing on Stocks

[nodols3]

---

Who are into value investing here?

This topic is not for traders or trading in the stock market, this is for buying and holding.
Same strategy with Warren Buffett or Benjamin Graham.

Anyone willing to discuss it here?

[BeerBreeze]

Bro, please check this thread.

https://www.istorya.net/forums/busine...ck-market.html

[nodols3]

Hehe..just as I thought it would be..

Bitaw bro, I would like to stress a little about "value" investing. This is a technique popularized by the father of modern investing "Benjamin Graham".

And mastered by his protege "Warren Buffett". This is not the same with what they call buying and holding a stock for a period of 1 or 5 years, and calling it "investing". Value investing could go on until forever.

It's called "Value" investing. I believe anyone who have read, security analysis or the intelligent investor by Benjamin Graham and other books for Warren Buffett, can relate to this thread, I am posting this to let other Grahamites or Buffettist out there know that you guys are not alone, and if you guys are into this stuff, we can discuss it here. ^_^ v

[arclops]

sa wakas naa na gyuy ni open ug thread sa value investing.....naay existing thread sa investing pero murag nasagulan naman to ug trading...hehehe

i hope this thread will focus lng sa value investing.....

@nodols3: btw, bro if you don't mind when ka nagstart ug invest?

[jeshcel]

comment lang ko gamay about sa pikas thread...investing in the stock market.

lisod man kau gud nga mag monitor ka sa imong mga stocks nga everyday ga fluctuate. mao nga supposed to be investing ra gyud, masagolan ug trading but pro akong style.... i buy and sell almost same stocks ra gyud.

sa akong nasabtan aning value investing kay bisag unsaon, di gyud ibaligya ang imong gipalit nga stocks not unless tingali if matiguwang na gyud... because you believe in the company.

hoping to have other people to guide on unsaon ang value investing nga di gyud ka ma-apektohan sa daily fluctuate sa stock market.

[arclops]

"I buy businesses, not stocks, businesses I would be willing to own forever."

WARREN BUFFETT

The Warren Buffett Way
by: Robert Hagstrom

[makie]

There is an existing thread about investing in the stock market. Check it out.
In the strictest sense, investing is still trading as well because you buy and sell irregardless of the period of time involved as far as the stock market is concerned.

[Theko]

I find solving for intrinsic value difficult. Could anyone teach me how using Graham's formula?

Some problems I encountered:

1.) Since I am more comfortable with the revised formula rather than the formula presented in his old books, it is difficult for me to solve for the average yield of AAA bonds. In his book he used 4.4, but in Philippine setting, what should I use, or where can i get the figures to compute?

2.) How do I solve for growth rate?

3.) To solve for trailing EPS, I find the average of the quartely EPS in the FS in one year. Is this right?

anyone?

[arclops]

There is an existing thread about investing in the stock market. Check it out.
In the strictest sense, investing is still trading as well because you buy and sell irregardless of the period of time involved as far as the stock market is concerned.

The other thread is about investing in general which can be value or growth investing....and nasagulan napud ug trading. IMHO, yes technically its' called trading when you buy and sell stocks regardless of the holding period and strategy used. But what what we are talking here is about the method in choosing stocks, in which to the point of view to the value investors, they referred to it as businesses. I think majority who are into stock market are traders...there are only a few who follow the strategy of value investing. Traders use charts while value investors use financial statement and valuation. I'm not an expert on this field...bago palang nagsugod...hehehe....I hope madungagan akong nahibal-an through this thread.

@TS can we start from scratch? from basic to advance para naay progress ang discussion...

[makie]

You can start by doing some research about fundamental analysis basics. Some of the very basic and very useful infos are EPS (Earnings-per-share) ratio and P/E (price per earnings ratio). There are actually a lot of methods to use in FA but those are are by far among the most popular.

Some of the things that I read in financial statements:

1.) Earnings growth. Consistent ba for the past years?
2.) Debt to Equity ratio. Basis if the company is financing either through debt or equity. Kung debt, I stay away.
3.) EPS and P/E ratio.
4.) Dividends. Though not really that important in comparison to value appreciation, at least it helps. Some companies are not just consistent, dagko pa gyud ug hatag.
5.) Company profile. Dakong factor pud ni. If reputable ang mga nagdala sa company, it will most likely go up

I did all my study sa internet. Daghan kaayo ug nindot nga reading materials ang internet.

I think majority who are into stock market are traders...there are only a few who follow the strategy of value investing. Traders use charts while value investors use financial statement and valuation.

Comment lang ko gamay about ani. Most of the traders are investors as well. Most traders have stocks for long holds. Di lang kaayo makita because they're not that vocal about it. Investments don't need a lot of attention in comparison to trading. Mamagnify lang ang trading activity sa traders.

Traders use both charts (technical analysis) and fundamental analysis (financial statements, etc.) both give an idea of good entries and exits. There are a lot of cases where a stock's price went up after a positive report coming from a company despite a very poor chart pattern. Some traders are actually basing their decisions fundamentally.