Shouldn’t profitable businesses positioned for the future be a store of value against inflation?
I would think so. The price of the stock and profits will go up with inflation. If you convert to cash and sit on it then I'd be worried about a sure enough erosion in wealth.
No, they're wealth-confiscation targets for the Obamunist state. Were you asleep for the past few days? People who engage in productive activity are now considered Public Enemy #1 by our society.
“Shouldn’t profitable businesses positioned for the future be a store of value against inflation?”
That would be true (in most cases) if stock prices were actually determined by earnings, but that hasn’t been true for many years. Stock prices are now determined by the “bigger fool rule”. If there’s a bigger fool out there that will pay more for the stock than you did then the stock is considered undervalued.
If you’re buying the stock purely for it’s dividend payments then it’s somewhat true.
When the Little Red Hen is taxed at 100% so that all the other farm animals can afford to buy her bread with EBT cards, Big Bro is going starve unless he prints more money for himself or borrows wealth from someone who has it. The red hen can only loan so much accumulated wealth until it is exhausted. And the hen cannot be paid back the principal or the interest by Big Bro because he doesn’t really have it. Big Bro lends money from the future to the little red hen in hopes that she’ll pay it back with interest. But how can that be possible when it will all be taken from her? The hen is tired and cuts back on production so that she does not have to eat as much. The other farm animals can keep consuming at the same rate because Big Bro will step in and equitably redistribute and provide for all needs. The other farm animals are too stupid and hopeless to create wealth but they don’t have to, because Big Bro promises them hope and change.
Like Ruger and Smith&Wesson?