Most of the time common stocks are subject to irrational and excessive price fluctuations in both directions as the consequence of the ingrained tendency of most people to speculate or gamble... to give way to hope, fear and greed.

Those with the enterprise lack the money and those with the money lack the enterprise to buy stocks when they are cheap.

If you are shopping for common stocks, choose them the way you would buy groceries, not the way you would buy perfume.

An investor calculates what a stock is worth, based on the value of its businesses.

The underlying principles of sound investment should not alter from decade to decade, but the application of these principles must be adapted to significant changes in the financial mechanisms and climate.

The determining trait of the enterprising (or active, or aggressive) investor is his willingness to devote time and care to the selection of securities that are both sound and more attractive than the average.

Successful investing is about managing risk, not avoiding it.