If we were to heed the wise words from the often quoted and well known investor Mr. Warren Buffett, "When a management with a reputation for brilliance tackles a business with a reputation for bad economics, it is the reputation of the business that remains intact," the methodology of most investors would be diffferent.
At the moment we are investing time and energy to look at two particular sectors that we feel have good business economics: industrial gases and the railroads. The former seem to be a little over valued at the moment looking at our conventional methodology. However, we hope to find some accounting discrepancies that can allow us to find hidden assets on the balance sheet.
With regards to railroads, their is no simple methodology to assess their value as each has different assets recorded and unrecorded on their balance sheets. Simple digging will reveal the facts.
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