[dzonga]

laws of nature always win at the end of the day. fundamentals are important, so long can a software saas company make money by selling software to other vc funded saas companies.

at one point the free money being thrown around then spent on saas, cloud and marketing with fb / google will be pulled back. and then we will see who's naked. it might not be today, it might not be tomorrow, but it will happen.

hence buying a piece of a sound business like buffet does, will win at the end of the day. it's not glamorous but it will win.

[jakub_g]

IMO fundamentals win long term, but I also think that company being hyped is often a self-fulfilling prophecy: they suddenly get crazy amounts of capital for free when they stock is high which they can use to for securing loans, transactions, salaries etc. to grow bigger and faster.

[kbenson]

It's pessimistic of me, but I suspect that once the current crop of tech is no longer appealing for large investments some other sector will be found for the long term pump and dump.

The method of Buffet/BH obviously works, but it also seems like it requires a lol it knowledge and skill and patience, otherwise it would be much more popular. Rolling a new mark (or the same marks with a game with a new name) is much easier and reliable for those with less skill.