Look At the Business Aspects of the Investment

"We are not looking at the aspects of the stock, we 're looking at the aspects of the business."

Warren Buffett

Growth and Value are Inseperable

'Most analysts feel they must choose between two approaches customarily thought to be in opposition: "value" and "growth."... In our opinion, the two approaches are joined at the hip: Growth is always a component in the calculation of value.'

Warren Buffett

Predictions Tell More About the Predictor

"A prediction about the direction of the stock market tells you nothing about where stocks are headed, but a whole lot about the person doing the predicting."

Warren Buffett

Difference Between Wise and Fool

"What the wise do in the beginning, fools do in the end."

Warren Buffett

Ignore Political and Economic Forecasts

"We will continue to ignore political and economic forecasts, which are an expensive distraction for many investors and businessmen."

Warren Buffett

One Year Results are Not Relaible

"Do not take yearly results too seriously. Instead, focus on four- or five-year averages."

Warren Buffett

Hope Diamond Versus Rhinestone

"It's far better to own a portion of Hope diamond than 100 percent of a rhinestone."

Warren Buffett

Sometimes Markets Get Divorced from Reality

"Periodically, financial markets will become divorced from reality."

Warren Buffett

Don't Make Simple Things Complex

Do Humans Make Simple Things Complex?

"There seems to be some perverse human characteristic that likes to make easy things difficult."

Warren Buffett

Does Investing Success Require Extraordinary IQ?

Does Investing Success Require Extraordinary IQ?

"Success in investing doesn't correlate with IQ. Once you have ordinary intelligence, what you need is the temperament to control the urges that get other people in trouble investing."

Warren Buffett

Cash is a Terrible Investment

"Today people who hold cash equivalents feel comfortable. They shouldn't. They have opted for a terrible long-term asset, one that pays virtually nothing and is certain to depreciate in value."

Warren Buffett

Stock Market is a Voting Machine

Stock Market is a Voting Machine in the Short Run

"But I think it is very easy to see what is likely ti happen over the long term. Ben Graham told us why: 'Though the stock market functions like a voting machine in the short run, it acts as a weighing machine in the long run.' Fear and greed play important roles when votes are being cast, but they don't register on the scale."

Warren Buffett

Price is What You Pay and Value Is What You Get

Price is What You Pay and Value Is What You Get

"Long ago, Ben Graham taught me that "price is what you pay; value is what you get." Whether we are talking about socks or stocks, I like buying quality merchandise when it is marked down."

Warren Buffett

Time and Business

Man is holding a clock to stress the impact of time on a business

"Time is the friend of the wonderful company, the enemy of the mediocre."

Warren Buffett

Be Greedy when Others are Fearful

"I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful."

Warren Buffett

Inactivity is Best when Investing

Picture shows an Investor Dozing and Inactive Over Investments

"Much success can be attributed to inactivity. Most investors cannot resist the temptation to constantly buy and sell."

Warren Buffett

Invest in a Fool Manageable Business

Picture shows April Fool and advice to invest in a company that even a fool can run

"You should invest in a business that even a fool can run, because someday a fool will."

Warren Buffett

Fear Is Your Friend

Graphic shows a investor afraid of surrounding gloom and darkness

"It's been an ideal period for investors: A climate of fear is their friend. Those who invest only when commentators are upbeat end up paying a heavy price for meaningless reassurance."

Warren Buffett

Be a Pessimist When Investing

Graphic depicts a euphoric girl and a pessimistic mouse

"When investing, pessimism is your friend, euphoria the enemy."

Warren Buffett

Buy Stocks to Hold for Very Long

Graphic portrays the Stock Exchange Closed for 10 years

"Only buy something you'd be perfectly happy to hold if the market is shut down for 10 years."

Warren Buffett