Negative Cash Flow & The Problem with Paying High Prices for Systematic Dilution
Broken Business Models Our recent paper on Small Caps, The Low Price of High Quality, identified the market’s highest quality firms trading at reasonable valuations That work also documented ...
An Investment Strategy for High Quality Firms
If you are saving for retirement, have some investment goals and are looking to buy stocks we believe this chart is for you. Our last two newsletters documented the ...
What You Need Has Never Been Cheaper vs. What You Want
What You Need Has Never Been Cheaper vs. What You Want: The chart below shows the ratio of Consumer Staples to Consumer Discretionary stocks is now LOWER than at ...
Investing in Staples Made Simple
The Supremacy of Staples: A Triumph of the Mundane: The market is awash in stories about the wonders of day trading (h/t Ramp Capital tweet) egging the inexperienced to ...
Multiple Expansion and Stock Performance: A Tale of Two Markets
Multiple Expansion: A Tale of Two Markets The NAVY BLUE BARS show the price-to-sales ratio of stocks in 2010 by decile, from least to most expensive The LIGHT BLUE ...
Performance of Loss Making Stocks
Losing Money is No Way to Make Money: In our recent papers on quality investing and income investing, Kailash is pounding the table advocating investors avoid the IPO/Tech mania ...
High Quality and Income Stocks at Low Prices
High Quality & Income at Low Prices: Index mania has sent money into ever larger and more expensive companies The slides below show that our S&P 500, Russell 1000 ...
Safety & Income Investing vs. Index Investing
As documented in our recent research on high quality midcap investing, growth investing and value investing firms , the mania for index investing has left many of the market’s ...
Value Investing Jobs: Easy to Say, Not Easy to Do
Based on research from our last paper, the chart below shows there is abundant quality available at reasonable prices – a scenario reminiscent of the internet bubble: The first ...
Is This Where You Want to be Investing Today?
Apple, Amazon, Microsoft, Facebook & Google: Did you know that these FIVE companies are over 20% of the SP500 Index? Did you realize that the stock prices of these ...
Index Funds the Most Crowded Trade?
In our last paper “The Collision of Arithmetic & Over-Optimism", Kailash presented a compelling chart demonstrating that investor obsession with the 25 largest growth firms had driven them to ...
Is It Any Wonder Berkshire is Shopping in Japan?
In our September 4th paper, IPO Stocks are the New Staples – History and Current Data Suggest that is as Silly as it Sounds, we submit historical evidence that ...
