Individuals who cannot master their emotions are ill-suited to profit from the investment process.
Benjamin GrahamRead
A stock is not just a ticker symbol or an electronic blip; it is an ownership interest in an actual business, with an underlying value that does not depend on its share price.
Interpretation
What this quote means
Stocks represent ownership in a business, not just numbers on a screen.
This quote by Benjamin Graham emphasizes that stocks are more than just their market prices; they signify ownership stakes in real businesses with inherent values. It serves as a reminder to investors that the true worth of a stock is based on the company's fundamentals and potential, rather than the often volatile fluctuations seen in the market.
Themes
StocksInvestingBusinessValueOwnership
In practice
Example use cases
During a financial seminar, to explain the importance of understanding stock investing.
More from Benjamin Graham
All quotes →It is absurd to think that the general public can ever make money out of market forecasts.
Benjamin GrahamRead
Have the courage of your knowledge and experience. If you have formed a conclusion from the facts and if you know your judgment is sound, act on it – even though others may hesitate or differ.
Benjamin GrahamRead
Obvious prospects for physical growth in a business do not translate into obvious profits for investors.
Benjamin GrahamRead
When somebody asserts that a stock has an earning power of so much, I am sure that the person who hears him doesn't know what he means, and there is a good chance that the man who uses it doesn't know what it means.
Benjamin GrahamRead
To be an investor you must be a believer in a better tomorrow.
Benjamin GrahamRead
Similar quotes
If investing is entertaining, if you're having fun, you're probably not making any money. Good investing is boring.
George SorosRead
When I trade, I don't have an agency problem; I have my neck on the line. When a bank or banker trades, it's not his neck on the line.
Nassim Nicholas TalebRead
There are two main drivers of asset class returns - inflation and growth.
Ray DalioRead
By far the most significant event in finance during the past decade has been the extraordinary development and expansion of financial derivatives.
Alan GreenspanRead
The propensity to swindle grows parallel with the propensity to speculate during a boom the implosion of an asset price bubble always leads to the discovery of frauds and swindles
Charles P. KindlebergerRead
Don't try to buy at the bottom and sell at the top. It can't be done except by liars.
Bernard BaruchRead