Here’s a great piece by Howard Marks from his 2000 memo where he asks the bulls one question: What’s been the average performance of stocks bought at p/e ratios in the twenties? I don’t think the return has been in double digits. I’m not even sure it’s been positive! Here’s … Read More
Tweedy Browne – Unlike A Fruit Fly We Are All Blessed With The Ability To Take A Longer Term Perspective
One of the best resources available to value investors are the shareholder letters from Tweedy Browne. Tweedy Browne is one of the longest serving value investing firms in the United States and was founded in 1920 by Forrest Berwind “Bill” Tweedy. When Bill Tweedy founded his firm, he concentrated in … Read More
Tobias Carlisle – There Are Two Ways To Win As A Deep Value Investor
Here’s a great interview with Tobias Carlisle on Goldstein on Gelt where he speaks about all things deep value investing. On the question of why some value investing firms underperform and why he prefers his deep value investing strategy, Tobias says: I’m always very careful criticizing other value investors, because it … Read More
Here’s Why Pat Dorsey Would Like The Acquirer’s Multiple
One of my favorite investors is Pat Dorsey. Dorsey is the founder of Dorsey Asset Management and he’s also the author of two books, The Five Rules for Successful Stock Investing and The Little Book that Builds Wealth. Recently I was re-reading The Little Book That Builds Wealth and came across … Read More
John Neff – How To Find The Best Undervalued Stocks Using A Low P/E Strategy
One of my favorite contrarian investors is John Neff. His success using a low P/E strategy is best described in an article by Morningstar: His wager on Ford Motor Company in 1984 was said to be one of his best. When many feared that the company’s sales were due to … Read More
Here is Warren Buffett’s First Tax Return From 1944 (Age 14)
PBS Newshour recently released a copy of Warren Buffett’s first tax return which he filed in 1944 at the age of 14. When Buffett arrived for his PBS NewsHour interview with Judy Woodruff, he pulled out his first tax return while he was in the makeup chair. Buffett’s income in … Read More
Undervalued Foot Locker Inc, FCF/EV Yield 9%, Shareholder Yield 8% – Large Cap 1000 Stock Screener
One of the cheapest stocks in our Large Cap 1000 stock screener is Foot Locker Inc (NYSE:FL). Foot Locker Inc. (Foot Locker) is a retailer of shoes and apparel. The company operates through two segments: Athletic Stores and Direct-to-Customers. The company is an athletic footwear and apparel retailer, with businesses that … Read More
How To Develop A Superinvestor Mindset Like Buffett, Munger, Neff, Loeb, Lynch and Soros
One of my favorite investing books is How To Think Like Benjamin Graham and Invest Like Warren Buffett, by Lawrence A Cunningham. One of the best pieces in the book looks at the principles applied by some of the greatest superinvestors of all time. Here’s an excerpt from the book: The … Read More
Sam Zell – How To Find Great Investment Opportunities When Others See Distress
One of my favorite investors is Sam Zell. According to Forbes, Zell is one of America’s most prolific real estate investors, Sam Zell is the son of a Polish grain merchant. His parents and sister escaped Poland by train hours before Hitler’s army bombed the tracks that ran through their … Read More
Undervalued InterDigital Inc FCF/EV Yield 16% – All Investable Stock Screener
One of the most undervalued stocks in our U.S. All Investable stock screener is InterDigital Inc (NASDAQ:IDCC). InterDigital, Inc. (InterDigital) designs and develops technologies for wireless communications. The company is focused on three technology areas: cellular wireless technology, Internet of things (IoT) technology, and, through its Hillcrest Laboratories, Inc. (Hillcrest … Read More
Mohnish Pabrai Says An Investment Opportunity Should Hit You Over The Head Immediately Otherwise Move On
Great video with Mohnish Pabrai speaking with the folks at Google. This whole presentation can be summed up at 27:05 when Pabrai says, “Spending time on [researching] companies is likely to make me bias”. In other words when you’re looking for investment opportunities they should hit you over the head … Read More
Charlie Munger Says The Investment Management System Is Bonkers – Here’s Why
One of my favorite investing tomes is Poor Charlie’s Almanack by Charles Munger. As an investor, it’s the one book you need to read on ‘rational’ investing strategy. A quick look on Amazon shows that there are fourteen used copies selling for $162.01 and one new copy for $50,000. That … Read More
Returns to The Acquirer’s Multiple® Screeners and The Best Value Stocks
[View the story “Week Beginning June 26th, 2017” on Storify]
Our New Canadian Deep Value Stock Screener – (CAGR) 19.1% per year
Big news this week with the release of our new Canadian All TSX deep value stock screener, and the backtest results are astounding! Backtesting Results Canada All TSX Stock Screen We backtested the returns to a theoretical portfolio of stocks selected by The Acquirer’s Multiple® from the Canada All TSX stock screen. … Read More
This Week’s Best Investing Reads From Our Top 50 Investing Blogs 2017
Each week Tobias and I pick out the best investing reads from our Top 50 Investing Blogs 2017. Here’s what we’ve been reading: Acquirer’s Multiple & the Quest for Value (Old School Value) How to Invest in an Overvalued Market (A Wealth of Common Sense) Factor Investing: Evidence Based Insights (Alpha Architect) The Jeff Bezos Empire … Read More
Just How Did Walter Schloss Achieve a 21.3% CAGR From 1956 to 1984
Walter Schloss was one of Buffett’s Superinvestors of Graham-and-Doddsville. He had an incredible track record of returns over his investing career, achieving a 21.3% CAGR over the period of 28 and a quarter years from 1956 to Q1 1984. And, he did it while keeping his own expenses to a minimum. … Read More
Seth Klarman – The Definitive Guide On Why Bottom-Up Investing Trounces Top-Down Investing
There’s a lot of discussion on which is the better investing strategy, bottom-up investing or top-down investing. The definitive guide can be found in Chapter 7 of Seth Klarman’s book, Margin of Safety. Here’s an excerpt from that book: There is no margin of safety in top-down investing. Topdown investors are … Read More
John Rogers Says Contrarian Investing Gives You The Confidence To Buy When Others Are Selling
Here’s a great interview with contrarian value manager John Rogers on WealthTrack who says if you don’t follow the crowd you’ll be a better investor. “Value investing is a contrarian approach. You’re going to be buying when others are selling. When there’s a lot of fear out there you’re going … Read More
How To Invest Like Sir John Templeton In 2017
One of the most famous contrarian investors of all time was Sir John Templeton. Templeton was remembered for a number of famous quotes including: “To buy when others are despondently selling and to sell when others are avidly buying requires the greatest of fortitude and pays the ultimate greatest reward.” … Read More
Mohnish Pabrai – How To Calculate Intrinsic Value
I’ve just been re-reading one of my favorite investing books of all time, The Dhando Investor, written by Mohnish Pabrai. In Chapter 7, Dhandho 102: Invest in Simple Businesses, Pabrai provides a very simple example of how to calculate intrinsic value using the real life example of Bed Bath & Beyond Inc … Read More