There’s A Lot Of Value In Cyclical Commodity Stocks, But You Have To Use A Different Valuation Method | Value Investing News

There’s A Lot Of Value In Cyclical Commodity Stocks, But You Have To Use A Different Valuation Method

  • During his recent interview with Tobias, small cap value manager Eric Cinnamond discusses how value investors can find opportunites in cyclical commodity stocks but it’s important to use a different valuation method.
  • Eric Cinnamond: And these energy companies were trading at three times replacement cost.
  • So I can buy a barrel of oil in the ground for $10 a barrel, or I could buy an energy service company at .5 times book.
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