Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > Money, Finances, Stocks, Bonds, & Investments.

Money, Finances, Stocks, Bonds, & Investments. A discussion on Money, Finances, Stocks, Bonds, & Investments.

You pay a high price for reassurance.


Money, Finances, Stocks, Bonds, & Investments.

A discussion on Money, Finances, Stocks, Bonds, & Investments.
Reply
 
Thread Tools Search this Thread
  #1  
Old 03-11-2011, 01:36 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,927
Rep Power: 10
Steve has disabled reputation
Default You pay a high price for reassurance.

Investor Warren Buffett wrote an article in 1979 entitled 'You pay a very high price in the stock market for a cheery consensus.'

It is a fascinating article and it points out a glaring problem when it comes to investing and human nature. Few people feel comfortable going against the grain or against the common consensus. If the common consensus says 'buy this stock' or 'buy that stock' and investors rush to buy them, they may feel good that they bought what others are buying, however all this buying of such a stock will shoot the price up.

The price can continue to shoot up and form into a bubble. We all know what happen to bubbles don't we? They ultimately burst.

So when you are thinking of investing, you have to keep in mind, if there is a lot of talk and praise about a certain stock and the general consensus of that stock is 'cheery,' the price is going to be increased. It may be increased more than it is intrinsically worth. If purchased at such a time, it may be hit with a value correction where the price drops to a more reasonable level. After such a price correction, it may take quite a bit of time for it's value to increase to the price you purchased it at, if it ever does.

Don't invest in a company simply because your friend, uncle, sister, or neighbor is, without first investigating it. If after investigation, you find the stock is reasonably priced and the company has a good shot of future growth, go for it. Otherwise, pass on the stock tip and let others pay that high price for the warm fuzzy feeling they get inside because they bought a stock that had a cheery consensus.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Was my bid to high or was I LOWBALLED!!!! winkie61 Online Lawn Care Estimator - Help me bid this job 14 03-23-2011 12:10 PM
just want to say high fatboy1450 Introduce Yourself 2 01-05-2011 05:44 PM
Getting high end customers Steve Lawn Care Marketing & Post your marketing material for review! 9 08-14-2010 09:30 AM
High Points StartALawnCareBusiness HardcoreUnemployable.com 6 08-11-2008 07:05 PM
High Gas Prices TnT Outdoor ervices General Business Discussions 3 05-15-2008 06:46 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
WAnna Watch Telugu...
lawrencejennifer119
Today 02:03 AM
Today 02:03 AM
by lawrencejennifer119
0 36
Did this job free to...
JJand M Lawncare
05-02-2016 02:33 PM
Yesterday 08:09 PM
by JJand M Lawncare
2 47
Correct way to quote a...
WarriorLandscapingCAN
05-02-2016 11:52 AM
Yesterday 10:59 AM
by Steve
1 38
How to tell Cust. to...
GeeGood
04-09-2008 09:55 PM
05-02-2016 02:45 PM
by JJand M Lawncare
13 5,208
Having an issue with...
Mr. Mow
04-27-2016 03:58 PM
04-28-2016 05:04 AM
by Sprinkler Buddy
2 120
Hello From Virginia
JJand M Lawncare
04-25-2016 01:02 PM
04-27-2016 05:20 PM
by Steve
5 148
knowledge is Key
Greg'slawnandlandscape
04-23-2016 02:23 AM
04-25-2016 02:40 PM
by Steve
2 135
Hello from Calgary
Freshcut
04-22-2016 06:10 PM
04-25-2016 02:38 PM
by Steve
1 123
Echo Bed Redefiner...
NPM_LLC
04-12-2016 10:54 AM
04-22-2016 06:15 PM
by Freshcut
4 324
Has anyone done a garden?
Brian3137
03-28-2016 10:42 AM
04-22-2016 04:42 PM
by biglee
13 9,769
What would you charge?
markty
04-18-2016 03:28 PM
04-22-2016 09:01 AM
by chris2500hd
6 309
Replaced Mower Engine
Sprinkler Buddy
04-15-2016 06:21 AM
04-19-2016 11:03 AM
by Sprinkler Buddy
6 268
Hello from Oklahoma
Ron Hall
03-24-2016 06:59 PM
04-16-2016 03:51 AM
by Ron Hall
9 9,477
Laying down some stripes
MATTNAPIER89
04-11-2016 09:55 PM
04-14-2016 11:55 PM
by Steve
3 345
Find out what business...
MATTNAPIER89
04-11-2016 09:58 PM
04-13-2016 12:32 PM
by MATTNAPIER89
2 298
Hello my name is Matt
MATTNAPIER89
04-11-2016 09:46 PM
04-13-2016 12:58 AM
by Steve
1 245
How to drop some...
nickeckes
04-11-2016 01:07 AM
04-12-2016 05:22 PM
by Steve
4 323
Trash Receptacle for a...
tannerduncan
04-12-2016 05:02 PM
04-12-2016 05:19 PM
by Steve
1 225
Small Project Lawn
tannerduncan
03-31-2016 08:21 PM
04-12-2016 05:16 PM
by Steve
7 9,356
Please Help! Bidding...
Dorali
02-15-2016 12:02 PM
04-06-2016 01:08 AM
by Steve
36 13,082
Hello
pbcleff
04-05-2016 07:45 PM
04-06-2016 12:35 AM
by Steve
1 418
Hello
llewelwa
03-18-2016 12:47 AM
04-05-2016 12:14 AM
by Steve
3 9,348
Poop and Scooping
llewelwa
04-01-2016 05:48 PM
04-05-2016 12:08 AM
by Steve
1 9,130
help with sole...
greenbuds
03-24-2016 12:21 PM
04-04-2016 05:33 PM
by WarriorLandscapingCAN
2 9,301
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 09:37 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 09:37 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy