"Would-be
investors can take courses in finance and accounting, read widely and,
if they are fortunate, receive mentoring from someone with a deep
understanding of the investment process. But only a few of them will
achieve the superior insight, intuition, sense of value and awareness of
psychology that are required for consistently above-average results.
Doing so requires second-level thinking.” ~Howard Marks~
First-level thinkers react to what they see in front of them without good understanding of the issue. They buy the stock when a company is releasing a cool product or growing sales. They sell the stock when a company reports lower earnings. These are not necessarily the wrong decisions, but such half-baked decisions are unlikely to give first-level thinkers superior returns.
Second-level thinkers always think beyond the obvious. They recognize that the money is not in what is obvious to everyone. They gain advantage through investigations although the process is always bumpy. They understand a stock represents a piece of business ownership, and have a robust approach for determining the business value independent of the mood of Mr Market.
Second-level thinkers constantly ask themselves two questions:
1. How is my view different to the market?
2. Is my view closer to the business environment, and if so, why?
These are not easy questions. We encourage you to read "The Most Important Things" by Howard Marks.
For time being, let us share our observation with you, and hopefully it will motivate second-level thinking.
Packaging industry
The packaging industry in general is categorized into 4 segments, namely rigid plastic packaging, flexible plastic packaging, paper packaging, and other packaging.
In Malaysia, both rigid plastic packaging and flexible plastic packaging are known as plastic packaging. Paper packaging remains as a standalone segment.
Comparative valuations of plastic packaging segment
A phenomenon?
A new platform driving growth?
First-level thinkers react to what they see in front of them without good understanding of the issue. They buy the stock when a company is releasing a cool product or growing sales. They sell the stock when a company reports lower earnings. These are not necessarily the wrong decisions, but such half-baked decisions are unlikely to give first-level thinkers superior returns.
Second-level thinkers always think beyond the obvious. They recognize that the money is not in what is obvious to everyone. They gain advantage through investigations although the process is always bumpy. They understand a stock represents a piece of business ownership, and have a robust approach for determining the business value independent of the mood of Mr Market.
Second-level thinkers constantly ask themselves two questions:
1. How is my view different to the market?
2. Is my view closer to the business environment, and if so, why?
These are not easy questions. We encourage you to read "The Most Important Things" by Howard Marks.
For time being, let us share our observation with you, and hopefully it will motivate second-level thinking.
Packaging industry
The packaging industry in general is categorized into 4 segments, namely rigid plastic packaging, flexible plastic packaging, paper packaging, and other packaging.
In Malaysia, both rigid plastic packaging and flexible plastic packaging are known as plastic packaging. Paper packaging remains as a standalone segment.
Comparative valuations of plastic packaging segment
Comparative valuations of paper packaging segment
A phenomenon?
A new platform driving growth?
http://klse.i3investor.com/blogs/ValVe/133134.jsp
