I remember one time having lunch with Joe Ponzio from F Wall Street. He said, “Value investing really works.” Well, of course it does, but it doesn’t work for everyone because of a lack of what I call “unlimited patience.” The following is the July issue of Ultimate Value Finder, which is my monthly newsletter. The reason why I am including it here is because I want to show you what happens to a company’s stock price when the market finally gets it. In this issue, I wrote about Silicom Ltd. (SILC) and since then, it is up almost 100 percent.
I am not writing about Silicom to show you how smart I am. Obviously, I am not that smart because I didn’t invest in it myself. I am writing about it to show you what happens when you pick the right stocks and you have enough patience to stick it out through volatility.
Another reason why I am writing this post is because I am disappointed with some of the people that subscribed to the newsletter. Thank God, it is only a few of them. They subscribed to the newsletter a few months ago, and they are complaining that they didn’t make any money yet. Actually, they lost money. Really? All of these ideas are long-term ideas which require lots and lots of patience. When you subscribe to the newsletter, you are not buying patience. I don’t know if anyone else sells patience. If you know of a place, let me know, and I will become a reseller. By subscribing to the newsletter, you are buying information about investment ideas that have the potential to appreciate in the future. In my view, “the future” is years from now. If in your view “the future” is within the next few months or weeks, then you should not be subscribing.
But, if you are still dumb enough to subscribe, I will take your $199. But, just know that you do not need my help flushing money down the toilet. You are perfectly capable of doing it yourself.