2017 marks the end of the 10th year since Old School Value was born. It’s a labor of love and it’s a blessing to be able to do what I love daily and hopefully for the next 10, 20, 50 years to come.
Now, if you are like me and can’t remember what happened this year, here’s a quick refresher.
What You’ll Learn
– The difference between an investors discount rate analysis and corp finance discount rates
– How to choose a discount rate
– How to apply discount rates as a stock investor
– Rules of Thumb for deciding on discount rates
Valuation is just for dummies? Is investing all about hot tech stocks? Let me show you why valuation still matters and why it’s important to people like me. Here are two stocks that are making money in this market with good fundamental cash growth.
As the market continues to climb, it’s easy to look for new ways to invest and potentially get off course.
Despite how well you are doing, there’s always the temptation to look at what others are doing and kick yourself for the ones you’ve missed.
I mean, check out what Amazon and Microsoft has done.
Amazon is up 47% YTD and Bezos is the richest man in the world again.
Microsoft is up 44% this year.
What You’ll Learn
– Why moats matter
– What makes a moat and how it is created and widened
– What isn’t a moat and what does not add to moat
– PDF notes
A few thoughts from Graham & Dodd and Marty Whitman about how to think about earnings and how it may differ from earning power.
“…the phrase “earning power” must imply a fairly confident expectation of certain future results. It is not sufficient to know what the past earnings have averaged, or even that they disclose a definite line of growth or decline.” ―Graham & Dodd, Security Analysis (6th Ed.)
The “Tenets of the Warren Buffett Way” was examined in the book The Warren Buffett Way, written by Robert G. Hagstrom.
The underlying principles haven’t changed much since The Warren Buffett Way was published, in 1994 (“That’s why they call them principles,” Buffett once said), but many readers have asked for clarification about applying the tenets in today’s market.
In summary, the process of focus investing involves these actions…
What You’ll Learn
– How to create a shortlist of stocks
– How to keep tabs of your stock
– How to do quick valuations
– The INVEST1000 portfolio revealed
– How to avoid “torpedoes” that can sink your portfolio
What You’ll Learn
– Why this company is a value outlier
– Past performance and numbers
– Why I think this company is undervalued
Heads up that starting on Monday, I’ll be starting our series on the INVEST1000 case study.
I’ll be going over the details of the project and introduce our case study hero, brave enough to disclose his thoughts throughout the whole process.
For this week’s VIP email, I wanted to share one of my all-time favorite articles.
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