Buffett Author and Investment Manager Hagstrom Likes Microsoft for Its Growth Potential

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Jan 19, 2012
Key points from Hagstrom:


- Market is discounting zero growth going forward on Microsoft (MSFT, Financial).


- Growth will be slow relative to its past, but it is growing and thus undervalued.


- Expects good news on new products out of Microsoft this year.


- Low downside risk on Microsoft, which makes it especially attractive.


- Fifth largest holding for Microsoft.


- Doesn’t own any banks, he thinks they are undervalued though and should be trading at book value.


- His concern with banking sector is growth going forward.