Richard Beddard

Richard is companies editor of Interactive Investor and a columnist at Money Observer magazine. A keen private investor through his Self Invested Personal Pension, he manages two virtual portfolios. The Share Sleuth portfolio is a hand-picked collection of mostly small-cap value shares, while the Nifty Thrifty is a mechanical portfolio designed to pick large, successful companies at cheap prices.

Are you a speculator who thinks he’s an investor?

Apologies for this chart, a sketch from my notebook, but I’ve never seen it drawn by anyone with the patience to use a ruler, so this will have to do*1. Sketch of relationship between speculation and investmentI imagine many of us thought we were invest

'Renaissance of Value' postponed

 

I thought I’d discovered the holy grail of value investing.

Financial Shenanigans

Uh oh.

Mirror, mirror

Investors are groping around for the market’s bottom. We won’t know if they’re right until it’s a lot higher but that’s not a good reason for turning our backs on companies. In fact, investors should be scrutinising them closely.

On the edge of the Death Zone

As stock markets fall, I’m slowly working through a list of companies that may recover strongly, companies that:

Sorting terminal stocks from turnarounds

How can you tell the difference between a company getting into trouble, and one getting out of it? It’s an important question for investors who try to buy shares on the cheap, when the price is low relative to the value of the company’s assets or earning power.

Typically, these companies are financially distressed. Profitability may be falling or negative and they may have to raise money just to keep going. They might not sound like good investments, but turnarounds can earn investors extreme returns when previously investors had written them off.

Identifying Wagon's smoking carburettor

Wagon (WAGN) was the cheapest stock of all last month judging by its Naked PE ratio.  You can buy Wagon shares for less than the profit that it makes in an average year. When investors place such a tiny value on a company's earning power they doubt it will survive on the stock market, so why waste time on it? 

The six cheapest stocks in August

Apologies for bringing you August’s list in September. As predicted, holiday and the scramble to meet deadlines either side of it kept me away from the blog. 

Here are the cheapest six shares according to Dr Keith Anderson’s Naked PE ratio.

Keeping cool in the credit crisis

Yesterday Wiley, the book publisher, sent me a flyer entitled "Keep your Cool in the Credit Crisis". It was promotional blurb on eight books that promise to help, including two from the 'For Dummies' range. The 'b side' lists eight 'Crash Classics'. When publishers bring out 'Credit Crunch for Dummies' books*1 and 'best of' compilations you know things are going to get better :-)

Forgetting all the economic noise and looking at valuations, good companies are getting cheaper.

Ten growth stocks at a reasonable price

I promised myself I wouldn't use this quote until I reviewed The Complete Turtle Trader, the book it's from, next week. However, it's the perfect introduction for today's blog and I cannot resist.
Good traders apply every ounce of intelligence they have into the creation of their systems, but then they're dumbbells in following them. You've got to have a schizoid approach. Work like hell to make it good, and then ignore it like you're a brick wall.

Syndicate content