On the long side Greenblatt likes Hewlett-Packard (HPQ, Financial) and Apple (AAPL) both of which have huge returns on capital and very low valuations.
He doesn't like buying a tech company on its own, but he loves buying a basket of these companies with these kinds of metrics.
Today he thinks that the market is slightly above average when it comes to valuation.
For the Russel 2000, however, he sees a very overvalued market, one that has only been more expensive 5% of the time.
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