Skip to main content
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0

http://www.marketwatch.com/News/Story/Story.aspx?guid=15DED91D-68AA-4F66-B200-A789C9CE520D&siteid=yhoo&dist=yhoo 

"David Brown, chief market strategist for Sabrient Systems, an independent research firm, says that investors should look for the characteristics that Wall Street is rewarding at any point in time.  Noting that those conditions change based on market cycles, Brown said in a radio interview with Chuck Jaffe, MarketWatch senior columnist, that investors currently should be looking for stocks with strong cash flows. He pointed out that the market is not currently paying for strong revenue growth, which had been the hot characteristic during earlier times in the current market cycle."

I kind of thought that the market isn't so much paying for "strong cash flows" as "speculative, crappy risk" at the moment, but seeing as Mr. Brown has finally puzzled out for all of us the ideal time to buy - when a stock is at its most richly valued, relative to the rest of the market - I am inclined to take his word for it.

Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.