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URL:  https://boards.fool.com/microsoft-came-to-the-market-at-the-very-beginning-34079153.aspx

Subject:  Re: How long do P/S last? Date:  12/7/2018  3:51 PM
Author:  XMFBreakerTinker Number:  106381 of 114450

Microsoft came to the market at the very beginning of the personal computer market. It was so nascent that Xerox gave away GUI for free to Apple, and IBM had no interest in the operating system, giving Microsoft ownership of it. Few understood it, and Microsoft went to great lengths to try to educate the market of the concept of increasing returns, not the typical return to the mean, high capital costs, etc. Bill Gates found himself frustrated in regard. In the end it idd not matter as the market worked its magic. But again, an example of how the market systematically undervalued the "overvalued". It is one of the advantages that smaller investors have, is that we do not have to have market beating returns every quarter.

Microsoft also never had a 100% yer over year growth in its history as a public company. But it continued to grow substantially each year with no real competition.

12x has it exactly correct.

Tinker
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