The Price of Victory; Buy Xerox, Tyco, and Tupperware
But Olstein, who had a less-than-stellar year in '05, returning just 2.8%, suspects that the truly big numbers will be increasingly hard to put up. Greatly underpriced stocks are harder to find nowadays, given what Olstein sees as the market's currently fair to slight undervaluation and a rise in the quality of earnings.
"We're going to have to look for what I call the ugly ducklings of the world — the companies where there are either misperceptions, temporary problems or some negative psychology surrounding an industry — to grind out 9% or 10% returns" says Olstein. "They're going to be the stars going forward, the 9% or 10% managers."