The thing that I have been emphasizing in my own work for the last few years has been the group approach. To try to buy groups of stocks that meet some simple criterion for being undervalued-regardless of the industry and with very little attention to the individual company.

There is a close logical connection between the concept of a safety margin and the principle of diversification.

Always remember that market quotations are there for convenience, either to be taken advantage of or to be ignored.

In security analysis the prime stress is laid upon protection against untoward events. We obtain this protection by insisting upon margins of safety, or values well in excess of the price paid.

To be an investor you must be a believer in a better tomorrow.

It's nonsensical to derive a price/earnings ratio by dividing the known current price by unknown future earnings.

Mathematics is ordinarily considered as producing precise and dependable results; but in the stock market the more elaborate and abstruse the mathematics the more uncertain and speculative are the conclusions we draw there from. Whenever calculus is brought in, or higher algebra, you could take it as a warning that the operator was trying to substitute theory for experience, and usually also to give to speculation the deceptive guise of investment.