A Quote by Warren Buffett

Earnings can be pliable as putty when a charlatan heads the company reporting them. — © Warren Buffett
Earnings can be pliable as putty when a charlatan heads the company reporting them.
They get, you know, whatever they want from their earnings, and their earnings go into their own company.
If you can follow only one bit of data, follow the earnings - assuming the company in question has earnings. I subscribe to the crusty notion that sooner or later earnings make or break an investment in equities. What the stock price does today, tomorrow, or next week is only a distraction.
My goal is to buy a company at a low multiple to normal earnings power several years out and that the company earns good returns on capital at that level of normal earnings. A holding period of more than one year also works quite well as the factors are persistent in years 2 and 3.
A young financial writer once brought ridicule upon himself by stating that a certain company had nothing to commend it except excellent earnings. Well, there are companies whose earnings are excellent but whose stocks I would never recommend. In selecting investments, I attach prime importance to the men behind them. I'd rather buy brains and character than earnings. Earnings can be good one year and poor the next. But if you put your money into securities run by men combining conspicuous brains and unimpeachable character, the likelihood is that the financial results will prove satisfactory.
Being captive to quarterly earnings isn't consistent with long-term value creation. This pressure and the short term focus of equity markets make it difficult for a public company to invest for long-term success, and tend to force company leaders to sacrifice long-term results to protect current earnings.
There are two kinds of charlatan: the man who is called a charlatan, and the man who really is one. The first is the quack who cures you; the second is the highly qualified person who doesn't.
I thawt I thaw a putty tat.” “I did, I did thee a putty tat" Finished with his Tweety Bird imitation, he grinned unpleasantly at me. “Now, then, luv, let’s get down to business
I think there's an awful lot of twaddle and bullshit on EVA. The whole game is to turn retained earnings into more earnings. EVA has ideas about cost of capital that make no sense. Of course, if a company generates high returns on capital and can maintain this over time, it will do well. But the mental system as a whole does not work.
One has to know more about a company if one buys earnings.
United's 2015 earnings were one of the best in the company's history.
One hundred percent of our earnings are reinvested in the company, and a great deal of that goes to research.
People ought to invest in us because they like our company and the way they run it. We still do quarterly earnings guidance, but we tell people openly that they ought to look at the company for the long term and that's how they ought to invest.
When you go public, the value equation of your company changes immediately. It is valued on anticipated earnings.
Of course, the discounting of future earnings should hurt all stocks. But it should hurt technology stocks more than others, because so many of them are valued at extremely high levels relative to their current earnings.
When you think about Twitter, there are people all around the world reporting twenty-four seven, every second. They're reporting what they're seeing and what's happening around them. So there's a lot of potential for breaking news.
Most look at earnings and earnings potential, well I can't get into that game.
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