Tesla PS Ratio & The Coming “Tax” on Index Fund Owners
The Persistence of High-Priced Stocks Sitting on High Hopes - Tesla PS Ratio: A Stock Price & Market Capitalization Problem Owned by the Many
Protecting Capital Amidst War, Drought, Famine & Rising Food Prices
Consumer Staples Stocks, Food, Famine & POLITICS - In this paper, we are going to be talking about food prices and profits. Let’s get our political views on the table so you understand our beliefs and biases. True story.
Growth Investing Gone Wrong: Avoiding the Double Bogeys
In Fast Growth Stocks, we explained the risks to “growth investors” seeking quick profits in some of the market’s most speculative firms. That rant laid the groundwork for our paper explaining the obvious opportunity to invest in growth companies at reasonable prices. A once in 20-year opportunity, in our view.
Bear Market Strategies: A Quick History of Value & Growth
What the Past Can Teach Us: Record Valuations, Rock Bottom Interest Rates & Bull Market Peaks. Surviving a Bear Market. Legendary writer and investor Dennis Gartman is fond of saying that the person who loses the least money in bear markets wins.
Russell 2500 Growth Index vs Russell 2500 Value Index
Past Performance Does Not Guarantee Future Results…. Particularly the RECENT Past. This paper makes the following three points: 1) The mean reversion in the 2500 benchmarks will continue, with growth falling sharply relative to value, 2) The reason for this is painfully simple in our view and 3) Allocators should move from index funds to active managers in the R2500G sector
Summary of Enron The Smartest Guys in the Room Part II
This continues our piece yesterday covering the first 9 chapters of Bethany McLean and Peter Elkinds’ luminous book on Enron. While we believe our take-aways from Chapters 10 - 22 of the book below are helpful reminders...
Enron Scandal Explained by Peter Elkind and Bethany McLeans’ The Smartest Guys in the Room
Summary of Enron Smartest Guys in the Room: Bethany McLean and Peter Elkind wrote the national bestseller “The Smartest Guys in the Room.” The book catalogues the rise of Enron, the financial crisis that would eventually consume it and exposes the subsequent accounting scandal. We do not write this missive to celebrate the devastating losses created by Enron Corporation...
Andrei Shleifer’s Inefficient Markets: An Introduction to Behavioral Finance — KCR’s Key Lessons from a Legend in the Field
Many Academics believe in Market Inefficiency In 2000 Andrei Shleifer published “Inefficient Markets.” The book brings together some of the best research in Behavioral Finance. Dr. Shleifer’s “Acknowledgements” section ...
Debt to EBITDA Ratios: The Spiral Higher Continues
The Wicked Winds of High Leverage, Low Rates & Weak Covenants In our Chart for the Curious (CFTC) last week, we showed that levels of risky debt had hit ...
Net Zero Emissions by 2050: The Possible vs. The Plausible
The charts below are from the International Energy Agency’s fantastic “Net Zero by 2050” report. The sheer breadth, depth, and work in the report boggles the mind. Designed to ...
Bitcoin vs Ethereum and the Case for Crypto
A Thoughtful Bull on the Future of Crypto The Best Crypto to Invest In…. The research team’s view on the top cryptocurrencies is a simple one. We stick to ...
Crude Investing: Energy Stocks & ESG
The KCR research team has worked in the investing business for an embarrassingly long time. As in prior manias, the consensus view has become dogma today. With legions of ...
