Buffet’s Perspective On When To Buy

I recently read a great quote from Warren Buffet…

“I never attempt to make money on the stock market. I buy on the assumption that they could close the market the next day and not reopen it for five years.”

It’s never about what the stock will trade at tomorrow or next week. Its about what you are paying for a company relative to what it will earn this year and each of the next 5 years. Timing the market is a fools game.

Here are a few dividend and investment related posts I’ve been reading this week:

My Own Advisor created a list of 20 ways to save more money. There are some good tips on this list.

In a post I missed last week the Dividend Pig provides a great list of dividend investment books you should read to become a better dividend investor.

The Dividend Guy covers 5 investment rules to consider using before buying a stock.

Matt from the Dividend Theory has a great post over at Dividend Growth Stock Investing that talks about the reason to avoid be anchored down on a stock. If you invest in stocks long enough you will eventually be presented with this struggle.

The Dividend Monk explains why Pepsico is a buy around $80 a share.

And finally Financially Integrated gives a really solid overview of what happened last week and what it means for dividend stocks.


  1. I use timing for entry into a stock position, that means, that I wait for the market to correct and the stock to retreat and then I calculate my entry point based on previous close and today’s price behavior. In most cases I pick the bottom of a retreat. Not 100%, but fairly close enough to be satisfied. Once I buy I never sell (dividend stocks) unless the company acts crazy with dividends and make me sell.

Leave a Reply