Originally Posted by
blobbles
I would suggest to you both that purposefully ignoring dissenting views is both dangerous and foolish. Wilful ignorance is not something you should strive for, open mindedness is, particularly when investing. If you look at the NZX 50 graph for the past year you will see an upward trajectory of pretty epic proportions. That will not go on forever, meaning at some point SPs will drop. It is more likely that shares that do not have a price which is based on fundamentals will drop the most, that is what history tells us at least.
I am a former XRO holder that got out with a damn good profit once I thought it was getting overpriced and am happy to have done so. I would never wish anyone to lose money and am not sour about not being in now as it would stress me out seeing my past 10k shares going up and down based on very little. I used the profit from XRO to make money elsewhere, not as much as they would currently be worth sure, but at least I am less stressed as their prices are at least close to fundamental value.
Act cautiously when hype overtakes fundamentals. And be very afraid if your reaction to dissenting views is to ignore them. Casino's fundamental valuation is very close to mine for Xero and over time, shares generally go back to their fundamental value.