Hey Reader, In today's issue:
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Connect, Learn, and Grow with Value Spotlight. 💎NUGGETS My Favorite Finds It's here, Warren Buffett's latest Annual Letters to Shareholders—Christmas for value investors. New paper from Michael Mauboussin, Probabilities and Payoffs, always worth a read. Companies love to hide important information in the notes. Here, New Constructs teaches us how to find those nuggets. Great thread on how to analyze the income statement, balance sheet, and cash flow statement in < 5 minutes. Fantastic lessons on how to break down the revenues of a company line by line. Great interview with John Rotonti breaking down starting an investment portfolio from scratch. 🔍Question of the Week What 3 companies do you feel have the strongest moat? Let me know in the replies. 📖Knowledge Tidbits
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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...
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...
Hey Reader, Did you know that before becoming a full-time investor, Mohnish Pabrai founded an IT consulting and systems integration company, TransTech, Inc., in 1991? He grew it from scratch and sold it in 2000 for $20 million, which became the seed money for his investment fund. In today's issue: EBITDA vs Net Income vs Free Cash Flow Learning how to sell a company, one of the biggest pain points in investing How to read a 10-k in less than 30 minutes Much more...... 💸Sponsored by: I've been...