Rule number one of investing: Never lose money. Rule number two: Never forget rule number one.

Be Fearful When Others Are Greedy and Greedy When Others Are Fearful

Only when the tide goes out do you discover who's been swimming naked.

If you understand the business, you don't need to own very many of them. If you have a harem of 40 women, you never get to know any of them very well.

The ideal business is one that earns very high returns on capital and that keeps using lots of capital at those high returns. That becomes a compounding machine.

Great investment opportunities come around when excellent companies are surrounded by unusual circumstances that cause the stock to be misappraised.