Valuating Technology Companies

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Jul 04, 2006
Warren Buffett shuns technology companies, because he believes “they are beyond his circle of competence”. That is great wisdom because “knowing what we know and don’t know”, believe it or not, is a trait that not many people can claim. Didn’t we witness the mad days of late 1990s when everybody thought he or she was a stock-picking genius? Not coincidentally, most of the mayhem happened in the technology sector, which few people fully understood but all believed it would change our lives forever.


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