Sohu: China's Best Internet Stock

09/24/08 - 01:18 PM EDT

James Altucher

Updated from 10:36 a.m. EDT

A few years ago I was talking to a broker friend of mine about Warren Buffett. He said, "Ahh, he's just lucky. Look how stocks have grown since 1960. He happened to be a long-term buyer right when it was the best time ever to be a long-term buyer."

There's a lot of evidence that Buffett, the founder of Berkshire Hathaway(BRK.A Quote - Cramer on BRK.A - Stock Picks), was more than just lucky. He avoided high-flying internet stocks such as Yahoo!(YHOO Quote - Cramer on YHOO - Stock Picks) and Amazon(AMZN Quote - Cramer on AMZN - Stock Picks) before the dot-com bust. He would buy severe dips in the stocks like he did with his biggest successes -- American Express(AXP Quote - Cramer on AXP - Stock Picks), Coca-Cola(KO Quote - Cramer on KO - Stock Picks), and Washington Post(WPO Quote - Cramer on WPO - Stock Picks) -- over the past 40 years.

But we get the point: It's better to have demographics working on your side than working against you. You don't need to make $50 billion in your lifetime. Most people would be happy with, say, half of that.

Fortunately, there's a stock that has the demographic tidal wave behind it, and it has dipped about 40% from its recent highs.

To read more and find out which stock could make you as "lucky" as Buffett, please click here.

At the time of publication, Altucher and/or his fund had no positions in stocks mentioned, although positions may change at any time.

James Altucher is president of Stockpickr LLC, a wholly owned subsidiary of TheStreet.com and part of its network of Web properties, and a managing partner at Formula Capital, an alternative asset management firm that runs a fund of hedge funds. He is also a weekly columnist for the Financial Times and the author of Trade Like a Hedge Fund, Trade Like Warren Buffett and SuperCa$h. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback; click here to send him an email.

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