Hey Reader, In today's issue:
💸Sponsored by: Value Spotlight Let's get real.... You could learn most of our educational information for free online. You could easily find a community on many different social media platforms. But what you won’t find anywhere else is a team as passionate to help you GROW. Take it from Jennifer’s story. She has made an impressive transformation in just a few months with Value Spotlight. She started as a beginner with no clue about the financials of the stock market. Now, she enjoys reading and discussing expert-level materials and books like Quality of Earnings. We help you grow with the resources and teaching available at our School of Investing. Connect, learn, and grow with Value Spotlight. 💎NUGGETS My Favorite Finds 🧵 Peter Lynch strategy breakdown. Great thread explaining what we can learn from his portfolio and process. 📖 How much is the right amount of research before buying is an eternal question. Here Todd Wenning gives us a potential answer. 🎥 Mohnish Pabrai discusses Costco and others at MOI Global. Great video interview with a smart guy. 🧵 High P/E vs Low P/E. What we can learn. 🧵 How to learn anything with the Feynman Technique. In this day of "optimizing" everything, being able to learn is a superpower. 📖 Learn how to analyze a company's lifecyle. Important knowledge to understand when valuing companies. 🔍Question of the Week
📖Knowledge Tidbits
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Hey Reader,Did you know that the S&P 500's lowest recorded P/E ratio was 5.31 in 1917, while its highest was 123.73 in May 2009, during the financial crisis? This represents a range of over 2,200% between the most undervalued and overvalued market conditions, demonstrating how dramatically valuation perspectives have shifted across different economic eras. In today's issue: Warren Buffett breaks down how he would invest if he could start over. What is never sell really? Why ROIIC is more...
Hey Reader,Did you know Professor Damodaran constantly emphasizes that there is no single "correct" value for a company? Valuation is filled with uncertainty and bias. The goal isn't to be perfectly right, but to be "less wrong" over time. He views valuation as a craft that improves with practice, humility, and a willingness to acknowledge what you don't know. In today's issue: Aswath Damodaran covers the dark side of valuation Checklist to help evaluate management and capital allocation...
Hey Reader, Warren Buffett transformed investing by emphasizing “moats”—the lasting competitive advantages that protect great businesses. As he wrote, “The key to investing is determining the competitive advantage of any given company and, above all, the durability of that advantage.” In today's issue: How Pat Dorsey builds wealth by investing in wide moat businesses. Terry Smith on the art of compounding and investing. Morgan Housel shares some very "bad advice." Much more.... 💸Sponsored by:...