Hey Reader,Did you know that Buffett's initial American Express investment returned 124% in just 2.5 years - While the broader market (Dow Jones) declined by 6% during the same period, Buffett's contrarian bet paid off dramatically by 1967 when the stock more than doubled from his average purchase price of $41.22 to $92.50. In today's issue: Brian Stoffel breaks down how to read the cash flow statement. Warren Buffett's thoughts on tariffs and trade from 2003. Pricing and peer groups from...
11 days ago • 1 min read
Hey Reader, Charlie Munger viewed market swings as opportunities, not threats. He dismissed volatility as risk, instead focusing on business quality and maintaining emotional discipline during market swings. He once said, "we don't give a damn about lumpy results." In today's issue: Warren Buffett and Charlie Munger's thoughts on risk and volatility. Important words in today's markets. Howard Marks on tariffs and credit spreads What is the strongest moat from Nick Sleep Everything about the...
18 days ago • 1 min read
Hey Reader,Did you know the cash flow statement didn't become a requirement until 1987? Before 1987, Companies were not required to prepare one. Instead, they often included a "funds flow statement" or "statement of changes in financial position," which focused on working capital changes rather than actual cash movements. In today's issue: Aswath Damodaran takes us back to the basics of free cash flow Brian Feroldi breaks down the cash flow statement, the base for all free cash flow...
25 days ago • 1 min read
Hey Reader,Did you know Peter Lynch's interest in the stock market began as a young caddy at Brae Burn Country Club? He would listen to executives discuss stocks while caddying, sparking his curiosity and eventual career in finance. In today's issue: Learn how to read financial statements in 9 minutes. It's easier than you think. One of Buffett's maxims is buying a company for a fair price. Let's learn how he does it. Learn why Charlie Munger liked quality over cheap price. Using ratios to...
about 1 month ago • 1 min read
Hey Reader,With the markets in turmoil, remember Buffett's maxim: " Price is what you pay, value is what you get." In today's issue: How to take advantage of market volatility from Thomas Chua Geoff Gannon breaks down how Buffett uses leverage Great deep dive into Nintendo from the Intrinsic Value Podcast How to use EVA (Economic Value Added) Much more.... 💸Sponsored by: Let's get real.... You could learn most of our educational information for free online. You could easily find a community...
about 1 month ago • 1 min read
Hey Reader, Did you know that the foundation of modern valuation can be traced back to 1938? In his groundbreaking book, The Theory of Investment Value, John Burr Williams introduced the concept that the true value of an asset lies in the present value of its future cash flows, discounted at an appropriate rate. In today's issue: What drives investment returns? Leandro breaks down the key drivers of value. Warren Buffett on Berkshire Hathaway's valuation. An intriguing perspective from the...
about 2 months ago • 1 min read
Hey Reader,Did you know Benjamin Franklin famously left $5,000 each to Boston and Philadelphia, instructing it to be invested for 200 years? By 1990, Boston's fund grew to $4.6 million and Philadelphia's to $2 million, showcasing the power of long-term compounding. In today's issue: 10 attributes of great fundamental investors Aswath Damodaran on market returns, accounting returns, and good/bad businesses The obituary for Google Search might be premature How to start analyzing banks Much...
about 2 months ago • 1 min read
Hey Reader,Buffett continues to defy norms. For example, he said during a Fortune interview, "I am one-quarter Coca-Cola... If I eat 2700 calories a day, 700 are Coca-Cola." So much for longevity and eating healthy. In today's issue: Buffett's Annual Letter released - value investors' favorite day Mauboussin's new paper explores investment probabilities and payoffs Guide reveals hidden information in financial statement notes Quick 5-minute method for analyzing financial statements Much...
2 months ago • 1 min read
Hey Reader,Did you know that Steve Jobs was diagnosed with dyslexia as a child and struggled in school, eventually dropping out of college due to dissatisfaction with mainstream education. In today's issue: Mastering Business Valuation: Breaking down DCF for informed investment decisions. The Power and Pitfalls of Brands: Professor Damodaran's insights on brand value. Share Cannibals Over Two Decades: Strategies of aggressive share buybacks. Investing Wisdom in Uncertain Times: Timeless ideas...
2 months ago • 1 min read