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Sometimes if your reputation is valuable enough, you start to create a momentum of your own. This is in general, similar to the way that short sellers hunt in packs like wolves. It is quite dangerous to be the only (or few) contrarians in the room.
Japan has become a gold mine for value investors
The obvious explanation for these miserable returns is that in 1990 Japanese stocks were wildly overpriced, trading on nearly 80 times cyclically adjusted earnings and three standard deviations above their long-term trend. However, stocks continued to disappoint even when the bubble economy had become a distant memory.
It's too early to talk of a shareholder-value revolution in Japan. More than half of listed companies still trade below book value. For example, $25 billion machine maker Toyota Industries (6201.T) is worth less than its cash and long-term investments. Still, change is well under way.
https://archive.ph/PbjlD#selection-725.0-732.0
Japan has become a gold mine for value investors
The obvious explanation for these miserable returns is that in 1990 Japanese stocks were wildly overpriced, trading on nearly 80 times cyclically adjusted earnings and three standard deviations above their long-term trend. However, stocks continued to disappoint even when the bubble economy had become a distant memory.
It's too early to talk of a shareholder-value revolution in Japan. More than half of listed companies still trade below book value. For example, $25 billion machine maker Toyota Industries (6201.T) is worth less than its cash and long-term investments. Still, change is well under way.
https://archive.ph/PbjlD#selection-725.0-732.0