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Howard  Marks

“If the market were a disciplined calculator of value based exclusively on company fundamentals, the price of a security wouldn’t fluctuate much more than the issuer’s current earnings and the outlook for earnings in the future. In fact, the price generally should fluctuate less than earnings, since quarter-to-quarter changes in earnings often even out in the long run and, besides, don’t necessarily reflect actual changes in the company’s long-term potential.”

Howard Marks, Mastering The Market Cycle: Getting the Odds on Your Side
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Mastering The Market Cycle: Getting the Odds on Your Side Mastering The Market Cycle: Getting the Odds on Your Side by Howard Marks
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