Investing Gives You A Snapshot Of Human Nature

smokerlady

One of my nerdy enjoyments about studying the capital markets and reading the annual reports of individual stocks is this: the data actually reflects the world as it is, not how it should be.

The US government spends a lot of money advertising against tobacco usage, and yet, when you review the financial performance of firms like Altria, Lorillard, and Reynolds American, you can see that they have a client base that is barely declining at 3% per year, and they are able to offset this dilution with price increases in their products.

Continue Reading!