Hey Reader,Did you know? Jensen Huang has a tattoo of Nvidia's logo on his shoulder, which he got when the company's stock price hit $100 per share. He described the experience as painful, saying it "hurts way more than anybody tells you." In today's issue: The differences between depreciation and amortization Howard Marks drop another memo How to read a 10-k, ala Aswath Damodaran Defining operating cash flow Much more.... 💸Sponsored by: Is your finance software falling short? Imagine having...
9 days ago • 2 min read
Hey Reader,Did you know? Bezos initially wanted to name his company "Cadabra," as in "abracadabra," but changed it to "Amazon" after concerns that it sounded too much like "cadaver." Good chocie, huh? In today's issue: Learn how Warren Buffett analyzes a Balance Sheet Aswath Damodaran's take on potential tech breakups Why we need to find companies with long reinvestment runways The ins and outs of Deferred Revenue Much more.... 💸Sponsored by: Tired of losing to the market? It's probably time...
16 days ago • 2 min read
Hey Reader,Did you know? Peter Lynch, the legendary Fidelity fund manager, discovered Dunkin' Donuts as an investment opportunity simply because he enjoyed their coffee. This exemplifies his "invest in what you know" philosophy. In today's issue: Why Buffett thinks earnings are overrated and what to do instead. How to value a brand like Coke, Nike, or Airbnb Michael Mauboussin schools us on ROIC Understanding a balance sheet And much more....... 💸Sponsored by: Is your finance software falling...
30 days ago • 2 min read
Hey Reader,Did you know? Buffett chooses from three breakfast items based on how much his wife puts in a cup for him. The options are two sausage patties, a sausage, egg, and cheese, or a bacon, egg, and cheese. He usually drinks a Coke with his breakfast. Buffett's choice depends on the market, with bacon when the market is up and sausage when it's down In today's issue: Breakdown EBITDA, Net Income, and Free Cash Flow Discover the power of Scale Economies Shared by Nick Sleep How to analyze...
about 1 month ago • 2 min read
Hey Reader,We've all heard of the power of compounding. Morgan Housel shared a story of Ronald Read, a janitor and gas station attendant who amassed an $8 million fortune by investing in blue-chip stocks and holding them for decades. Simple, beats complicated. In today's issue: Top metrics to help us become better investors Some fairy tales related to the Fed and their mandates Howard Marks drops another memo (must read, as always). How to analyze a balance sheet Much, much more.......
about 1 month ago • 2 min read
Hey Reader,From the oops category: In 2002, Hershey Foods almost accidentally sold itself. A sale sign was mistakenly left on during a routine software test, causing the stock to surge 25% before the error was caught and corrected. (That would have been a sweet sale, boo...) In today's issue: How to read an income statement like Warren Buffett (who doesn't want to know that?) How to read a company's lifecycle and its impact on valuation. How to calculate ROIC broken down Don't fall in love...
about 2 months ago • 2 min read
Hey Reader,The NFL opening weekend happened, and like a heathen, I spent Sunday reading 10-ks, investing blogs, and watching YouTube videos. I think there might be something wrong with me? In today's issue: How to read an income statement like a pro How Nvidia can teach us about the power of expectations Never, ever short Amazon (foolish) and what we can learn from a potential short Invested capital vs working capital - a grudge match (not really) Much more..... Tired of losing to the market?...
about 2 months ago • 1 min read
Hey Reader,Did you know that Peter Lynch worked as a caddie at a golf course, where he met Fidelity's president, D. George Sullivan, which eventually led to his career in finance? In today's issue: How to read a cash flow statement fast < 9 minutes Aswath Damodran explains how investors can compete with AI The importance of capital allocation Why moats matter Much more..... Transform Your Ecommerce Workflow with ShipStation! When we first started our podcast, editing and transcribing episodes...
2 months ago • 2 min read
Hey Reader, In a speech that left America with more relief and exuberance than Tom Brady's retirement tour, Fed chair Jerome Powell signaled a planned rate cut for September. Stocks with atrocious financials have been saved, bears have been slaughtered, and the world is finally fair and just (obviously). In all seriousness, I hope you have at least a few stocks that have benefited from the news. Stocks that boom with the economy can unlock serious returns. You can find them with a metric...
2 months ago • 1 min read