No. of Recommendations: 12
A good pithy summary:
"Overpaying for a business that is certain to exist and earn substantially more a decade from now will dampen results but is not likely to be catastrophic."
FWIW, I bought my first shares at P/B 1.768 in early September 2001. Not as unlucky as Jane, but not neither was it a very auspicious day to buy.
The multiple has been that high less than 8% of the time since then.
Average P/B last five years 1.333 (using peak-to-date book each day since I had it handy)
My one-time "loss" due to overpaying -24.6% on that metric.
But not a loss in any other sense, as the first price was $68413 and the current price is somewhat higher.
Jim
