I Feel The Same Way About General Electric Right Now As I Did About Johnson & Johnson In 2011

In 2011, I saw Johnson & Johnson trading at $61 per share. It was one of the first times I saw one of those buy-and-hold forever stocks trading at an attractive price that offered a margin of safety (the financial crisis wasn’t much applicable to me, because I was a college freshman while all of that was going on, and had things other than investing on my mind). The moment was highly unusual because almost everything I can find (and I’ve felt this way for a while now) falls into one of two categories: (1) A company selling at a discount to long-term value because it is working through problems—think BP, McDonald’s, GlaxoSmithKline, IBM, and a few others, or (2) companies with excellent core economics trading at various ranges of fair value, running the gamut from Exxon to Coca-Cola to Visa.

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