One of the best investors around, Joel Greenblatt, has written a popular, charming and funny book about investing in great companies at low P/E multiples. To simplify an already simple book, great companies are generally measured as companies that can generate lots of profit without requiring a lot of capital. This means that they have high ROEs.
David EinhornAs an investor my job is to figure out what will happen rather than what should happen.
David EinhornYou have a certain set of facts and you are looking for situations where you have an edge, whether the edge is psychological or statistical.
David Einhorn