As a follow-up on my last post which you can read here, I wanted to discuss the important difference between a company and a stock when investing. The old adage of “invest in what you know and buy” is very general and only goes so far. I would also say that it’s not nearly as…
Watch out for Accounting Gimmicks
It was announced yesterday that Microsoft is buying LinkedIn for $26.2 billion. A lot of people are questioning the deal but I think Andrew Ross Sorkin hit the nail on the head regarding LinkedIn’s decision to sell – to get out of the accounting hole they were digging with massive amounts of stock based compensation and…
On the Lookout for Some Holiday Deals & New Year Trend Changes
The end of the year tends to bring some odd movements in the markets. These can occur for a handful of reasons but most are driven by funds with short-term incentive policies and year-end bonuses. Fortunately, their short-sighted foolishness can be our gain since we’re in the position of investing for the long-term. Many funds…