Repeat after me: All markets are cyclical, all markets are cyclical, all markets are cyclical.
A good example of research for a simple, cyclical business
JAC_Simple Digressions Oct 25 2015 46 cents ENERGOLD
More here: http://prostedywagacje.blogspot.com/2015/10/impact-silver-cheap-stocks-but.html
Perspective on the mining market and gold: Van Eck Joe Foster Gold-Public-Monthly-Commentary-2015-10
And be careful, The Bubble in front of our faces………http://hussmanfunds.com/wmc/wmc151116.htm
It is time to dig into the micro level of balance sheets and to test YOUR skills; take no more than 10 minutes on this case study found here:
http://www.scribd.com/doc/73386616/LPX-10K-2010-Balance-Sheet-Case-Study
A few readers have asked me for search strategies. I will do a post on this later. Mr. Buffett would tell you to sit down in a library and go A-Z through Moody’s or Value-Line. What the $%&*!–that is 3,000 companies. Well, start with the As.
I do not do screens for the reason that should become obvious in the above case study.
If my instructions are unclear please post your questions and I will clarify. Good luck.
Posted in Search Strategies, Valuation Techniques