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No. of Recommendations: 10
If their share prices went berserk, then (in that sphere) it’s long past time to dump them. I give Saul credit for having a formula and sticking to it, a lot of the other posters there don’t seem to get it. In, out, lather, rinse, repeat. He buys, then heads for the exit at the first whiff of smoke (even if it turns out to be the neighbor just frying bacon.) His trigger finger twitches twice before mine even gets itchy.

This characterization is also wrong. Since Saul makes a point of staying fully invested at all times, he doesn't "dump them", he just switches from one to another. And sometimes he goes back in to a company he got out of, even at a higher price, if he decides it was bacon he smelled and not the bad kind of smoke. And who's to say that the share price has gone "berserk" and won't go much higher. So long as the company is executing....

His MO is truly simple: stay fully invested in about 10 of the best companies. And everybody gets to decide for themselves what the best companies are. But for now, Saul believes that means hypergrowth SAAS companies. And it's easy to see why "value investors" are appalled -- the best companies always seem expensive.

-IGU-
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