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MikeBuckley wrote:

The book says that all Gorillas have been historically undervalued by the market. Some people take that to mean that all Gorillas will always continue to be unervalued by the market. I don't think that the market's tendency to undervalue Gorillas in the past necessarily dictates that it will continnue to do so in the future, especially with the proliferation of Gorilla Game concepts educating investors about the power of Gorillas. My thinking is that the established Gorillas will tend to be overvalued sooner than the young Gorillas or leading Gorilla candidates.

I don't have much to add to the above observation, but thought it was important enough to post it again. In essence, Moore et al. were arguing that the market was inefficient at valuing gorillas; as that inefficiency goes away, the profit potential of the strategy goes away as well, though I think we have a long way to go until that happens.

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