Value investor Bill Nygren: Stocks are cheap if you think economy will recover from coronavirus

. It comes during a volatile period for stocks since February highs as Wall Street responds to the economic shock from the coronavirus.

"Long-term changes then you have to think about applying a P/E multiple to those changes," he said. Investors often use price-to-earnings ratios to determine the relative value of a stock." The Detroit-based bank, which closed Tuesday up 17.6% at $14.27 per share, is trading around one-third of its book value, Nygren noted., and "they could lose those earnings if this lasts more than a quarter or two," Nygren said.

It’s like 2013 prices, the market always rebounds.

Bill dancing to hot song... Eventually Recover... Go Bill Go

Eventually could mean 2-3 years

looks like a dead cat bonce to me

Eventually...... is a long time horizon

Of course this sentence hinges on the definition of eventually

The market must keep getting new money. It has been retirement money driving up values. With layoffs occurring and emergency withdrawals about to start. No more money to drive up prices.

We haven’t seen the derivatives losses associated with the precipitous crash we experienced emerge yet. There’s really no reason for optimism.

Rotation of stocks between categories brings to mind the picture of someone rearranging deck chairs on the Titanic! We’re going down! Sell the bounce.

What price can you put on something as there is an infinite amount of dollars? Get it? bitcoin fixes this !

plenty stimulus around the glob no way this is going to fall, this time is different ;) buybuybuy

so the theory goes.. buy when cheap.

You’re a genius

Of course they are, and of course the Stock Market will survive. Things will be fine if one has money to eat and to invest and does not become a victim of the contagion!

How about recovering from the 'Swedish Strain'?

But people need cash to live on. No money to invest no matter how cheap stocks are.

Don’t need any experts now .... when markets are up, everything is up .... when markets are down, everything is down. Just need direction, blindfold and some darts!

Worldwide, 4 to 6 weeks after 'lockdown', number of new cases begins to rollover. Additional 4 weeks to aggressively treat newly discovered cases within 'lockdown' period. New number on stimulus totals 6T. Anticipated new package now estimated to be news tomorrow, possibly by 12.

Stocks are currently more expensive than black market toilet paper.

Thanks captain obvious

... provided you have enough time to wait... and had recovered from 08’ - most real people “Bill!” are struggling to pay bills ffs.

Yes it will recover but maybe in 6 months or 6 years how we will know ? We will know when can control the Coronavirus not now now buying shares is gambling because we don’t know where is the bottom yet ?

“ if”. Great insight

Wow thank u for this amazing insight, I had no idea!!

If not Unemployment, GDP and Earnings are gonna keep it depressed

Well no shit? Is the next headline gonna be the sun is hot if you stand outside in the summer?

Singapore Singapore Latest News, Singapore Singapore Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stocks poised to extend losses Monday as stimulus bill stalls in CongressStocks were poised to extend losses Monday after posting their worst week since the financial crisis, as Congressional legislation to fight the coronavirus pandemic hit an impasse in Congress. 😥 They didn't hit an 'impasse'. The Democrats blocked the legislation. Hope will recover soon 😥
Source: USATODAY - 🏆 100. / 63 Read more »

'There is no escape': Stocks plunge as Senate debates coronavirus bill - Business Insider'If affairs start to get out of control, the market sell-off will be profoundly uglier than any of the previous crises.'
Source: BusinessInsider - 🏆 729. / 51 Read more »

Alexandria Ocasio-Cortez to co-sponsor House bill banning members of Congress from trading stocksRep. Raja Krishnamoorthi (D-Ill.) and Rep. Joe Neguse (D-Colo.) also plan to co-sponsor the bill, which comes in the wake of allegations that multiple senators profited off the COVID-19 pandemic by selling their stocks after attending closed-door briefings shortly before markets crashed. Also their family members and not allowed to have trusts . 🙄 Just another way she tries to take away people's freedom. We don't respect how you want to change the US. Go back to Puerto Rico and try changing that country, not this one.
Source: Newsweek - 🏆 468. / 52 Read more »

Stocks slump, despite Fed aid, as virus bill stalls againNEW YORK (AP) — Stocks fell about 3% on Wall Street Monday as Congress hit another roadblock in talks to inject nearly $2 trillion into the economy. Even an extraordinary flood of support from the... This tweet is one month old When he sent it, there were 53 cases & 0 deaths. After one month we have 40,000 cases and 458 deaths On 2/24 the DJIA was 27,960. Today’s close was 18,592 or down 34% Trump’s best brain at work... Stocks DID NOT end broadly lower because investors wait to see if Democrats and Republicans can settle their differences...COVIDー19 POLICY ACTIONS ARE TREATING THE SYMPTOMS, NOT THE PROBLEM
Source: AP - 🏆 728. / 51 Read more »

Stocks Rally 7% As Wall Street Hopes For Progress On Coronavirus Stimulus BillThe stock market rallied about 6% higher this morning amid renewed optimism that Congress can finally reach an agreement on a $2 trillion fiscal stimulus bill to cushion the economic fallout from the coronavirus pandemic by skleb1234 skleb1234 Oh, just you wait! skleb1234 America has to fight this virus and the Democrats they elected to survive. Remember this moment come November. skleb1234 Yo 286, suck my dick bro
Source: Forbes - 🏆 394. / 53 Read more »