David Dreman
David Dreman
David Dremanis an investor, who founded and is Chairman of Dreman Value Management, an investment company...
teach conclusion always-wrong
Experience teaches us that when "everyone" comes to the same conclusion, that conclusion is just about always wrong.
real risk enhancement
A good starting point [in the measurement of investment risk] is the preservation and enhancement of your purchasing power in real terms.
loss two risk
A realistic definition of risk recognizes the potential loss of capital through inflation and taxes, and would include at least the following two factors: The probability that the investment you chose will preserve your capital over the time you intend to invest your funds. The probability the investments you select will outperform alternative investments for this period.
perception division credit
Bank One has got one of the best credit card divisions, ... The perception of investors is that financial services stocks are affected by interest rates and they're not.
business finance beats
Nobody beats the market, they say. Except for those of those of us who do.
fashion work-out investing
Demanding immediate success invariably leads to playing the fads or fashions currently performing well rather than investing on a solid basis. A course of investment, once charted, should be given time to work out. Patience is a crucial but rare investment commodity.
favors company happens
Favored stocks underperform the market, while out-of-favor companies outperform the market, but the reappraisal often happens slowly, even glacially.
years three patient
If you have good stocks and you really know them, you'll make money if you're patient over three years or more.
blood rothschild lord
I paraphrase Lord Rothschild: ‘The time to buy is when there's blood on the streets.'
book yield cash-flow
I buy stocks when they are battered. I am strict with my discipline. I always buy stocks with low price-earnings ratios, low price-to-book value ratios and higher-than-average yield. Academic studies have shown that a strategy of buying out-of-favor stocks with low P/E, price-to-book and price-to-cash flow ratios outperforms the market pretty consistently over long periods of time.
judging growth looks
One of the big problems with growth investing is that we can't estimate earnings very well. I really want to buy growth at value prices. I always look at trailing earnings when I judge stocks.
optimistic analysts
Analysts have always been overly optimistic.
best couple demand disaster higher natural oil prices sidelines simply stay whenever
Whenever you get some kind of natural disaster, the best thing is to stay on the sidelines for the first couple days. We'll see higher oil prices from here on in. Demand is simply outstripping supply.
crumble cut fear horizon people sell time
When people are frightened, they cut their time horizon dramatically, ... Even advisors will say to sell because they see portfolios crumble and they fear people will have nothing left. It's really not rational, but it does happen.