Quotes

You have to really understand the businesses that you’re buying through the medium of stocks. And unless you’re willing to put a lot into that, you shouldn’t expect to get much out of it.

Wall Street tends to overreact when it gets worried about earnings.

When people are looking for performance they sharpen their pencils and find reasons to buy.

I always look for red flags. My major red flag all the time is when long governments yield 600 basis points over the yield on the S&P 500. At that point, stocks have always been overpriced.

I learned how to work on what's cheap. I became a total believer. To this day I think that is the only way to invest.

What a company is worth depends on who wants to buy it.

You know, we make mistakes. Some go from 12 to 10 and we sell them. Some go from 20 to nothing. In a 10-year period, you are going to have one or two that go from 20 to nothing. If you have more, it is bad.

Never, never pay attention to what the market is doing.

It’s not the answers that make you good in this business, it’s the questions you ask. If you ask the right questions you will always find out more than the next guy.

The goal is to make good returns with less risk. Risk is not the same as volatility. It’s very hard to measure risk.

My mission isn’t to make money in bull markets. My mission is to preserve capital.

Holding cash in the absence of opportunity makes sense.