Quotes About Stocks

Although over the short term Mr. Market may price stocks based on emotion, over the long term Mr. Market prices stocks based on their value.

The market takes the stairs up and the elevator down.

Bulls make money. Bears make money. Pigs get slaughtered.

Fundamentals make the market.

Here is a dirty little secret: Stock-picking is wildly overrated. Sure, it makes for great cocktail party chatter, and what is more fun than delving into a company's new products? But the truth is that individual stocks are riskier than broad indices.

Investors have been too willing to buy stocks with strong reported earnings, even if they do not understand how the earnings are produced.

When it comes to owning stocks of the best-known businesses in the world, value investors usually feel like children looking through the window of the candy store, unable to afford the treats inside because they refuse to pay the prices such high-quality franchises typically bear.

One of the very nice things about investing in the stock market is that you learn about all different aspects of the economy. It's your window into a very large world.

Your investment belongs to the market and your profits belong to you.

The best investors don't get persuaded by stock blips or charts. It's about staying ahead of the curve—anticipating changes in sentiment. You've got to anticipate what newspaper headlines will say next.

Technology stocks crash after forming history's biggest stock market bubble—the culmination of irrational exuberance, decades of herd-like behavior, and the recent injection of cheap money and moral hazard by the Federal Reserve.

THE game of Corner—for in its heyday it was a game, a high-stakes gambling game, pure and simple, embodying a good many of the characteristics of poker—was one phase of the endless Wall Street contest between bulls, who want the price of a stock to go up, and bears, who want it to go down.

Evidence that people are selling stocks at a time when they ought to be eating lunch is always regarded as a serious matter.

A margin call is a demand for additional collateral from a customer who has borrowed money from his broker to buy stocks and whose stocks are now worth barely enough to cover the loan.

the way stock prices are made, the silly and almost childlike basis upon which grown men decide that a stock should be bought, and at what price

But most short-term renters of stocks are not particularly interested in assuring that corporate governance is focused on placing the interests of the stockholder first.

Of 1,028 stock recommendations made by the typical brokerage firm during the first quarter of 2001 (the peak if the bull market), only 7 were "sell" recommendations.

I believe that the Total Stock Market Index Fund should be the investment of choice for most investors, covering as it does the entire U.S. stock market, and

While illusion (the momentary prices we pay for stocks) often loses touch with reality (the intrinsic values of our corporations), it is reality that rules in the long run.

like sales margins or profits. In the short-term, stock prices

The best way to implement this strategy is indeed simple: Buy a fund that holds this all-market portfolio, and hold it forever. Such a fund is called an index fund. The index fund is simply a basket (portfolio) that holds many, many eggs (stocks) designed to mimic the overall performance of the U.S. stock market (or any financial market or market sector).

I've often been cited as an advocate for a similar simple and seemingly rigid asset allocation: your bond position should equal your age, with the remainder in stocks. That asset allocation strategy can serve the needs of many—if not most—investors quite well, but it was never intended to be more than a rule of thumb, a place to begin your thought process.

If you expect to continue to purchase stocks throughout your life, you should welcome price declines as a way to add stocks more cheaply to your portfolio.

The classic view of the correct price of a common stock is that it is derived from the value of all the future earnings. These earnings are uncertain and subject to unknowable factors. Could anyone have known beforehand how to allow for the impact of 9/11 on the future earnings, hence on the then current market price, of firms headquartered in the Twin Towers of the World Trade Center?