One of the investors we follow closely here at The Acquirer’s Multiple is Carl Icahn, and one of the best pieces ever written on Icahn’s investing strategy comes from Tobias Carlisle’s book, Deep Value: Why Activist Investors and Other Contrarians Battle for Control of Losing Corporations. Carlisle illustrates how Icahn … Read More
Jason Zweig Says Stock Picking Is Dying Because There Are No More Stocks To Pick
Here’s a great article by Jason Zweig who says the universe of stocks is shrinking making it more difficult for investors to find undervalued opportunities. Here’s an excerpt from that article: In less than two decades, more than half of all publicly traded companies have disappeared. There were 7,355 U.S. stocks … Read More
Undervalued Exco Technologies, FCF/EV Yield 11%, Shareholder Yield 3% – Canada All TSX Stock Screener
One of the cheapest stocks in our Canada All TSX Stock Screener is Exco Technologies Limited (TSE:XTC). Exco Technologies Limited (Exco) is a designer, developer and manufacturer of dies, molds, components and assemblies, and consumable equipment for the die-cast, extrusion and automotive industries. The company’s segments include casting and extrusion, and … Read More
Has The Price-To-Book Metric Become Redundant – O’Shaughnessy Asset Management
Just finished reading a great paper by O’Shaughnessy Asset Management that discusses whether the traditional Price-to-Book metric has become redundant because of the increase in shareholder transactions, primarily through the increase in share repurchases. Here’s an excerpt from that paper: Value has broadly been accepted as an investing style and, historically, portfolios … Read More
Undervalued Cisco Systems, FCF/EV Yield 10%, Shareholder Yield 5% – Large Cap 1000 U.S. Stock Screener
One of the cheapest stocks in our Large Cap 1000 U.S. Stock Screener is Cisco Systems, Inc. (NASDAQ:CSCO). Cisco Systems, Inc. (Cisco) designs and sells a range of products, provides services and delivers integrated solutions to develop and connect networks around the world. The company operates through three geographic segments: Americas; Europe, … Read More
Warren Buffett – How To Become An Intelligent Investor
The Berkshire Hathaway letters are one of the most valuable resources for value investors. One of my favorite letters is the 1996 letter in which Buffett provides some principles for becoming an intelligent investor. It provides some great insights into the types of businesses you should search for, how to … Read More
Just How Did Warren Buffett Make A Quick $12 Billion On Bank Of America
CNBC recently announced that Warren Buffett just made a quick $12 billion on a clever Bank of America investment. Because of an astute investment made in Bank of America six years ago while the bank was struggling, Warren Buffett is about to make a quick $12 billion and become the … Read More
Undervalued WellCare Health Plans – More Room For Growth, FCF/EV Yield 28% – All Investable Stock Screener
One of the cheapest stocks in our All Investable Stock Screener is WellCare Health Plans, Inc (NYSE:WCG). WellCare Health Plans, Inc. (WellCare) is a managed care company. The company focuses on government-sponsored managed care services, primarily through Medicaid, Medicare Advantage (MA) and Medicare Prescription Drug Plans (PDPs), to families, children, seniors … Read More
Undervalued Indigo Books & Music – FCF/EV Yield Approaching Double Digits, P/B 1.1 – Canada All TSX Stock Screener
One of the cheapest stocks in our Canada All TSX Stock Screener is Indigo Books & Music Inc. (TSE:IDG). Indigo Books & Music Inc. (Indigo) is a Canada-based book, gift and toy retailer. The company operates stores in approximately 10 provinces and a territory in Canada, and offers online sales through … Read More
Undervalued Gilead Sciences, FCF/EV Yield 14%, Shareholder Yield 7% – All Investable Stock Screener
One of the cheapest stocks in our All Investable Stock Screener is Gilead Sciences Inc (NASDAQ:GILD). Gilead Sciences, Inc. (Gilead) is a research-based biopharmaceutical company that discovers, develops and commercializes medicines in areas of unmet medical need. The Company’s portfolio of products and pipeline of investigational drugs includes treatments for Human … Read More
Howard Marks – The Performance of Stocks With P/E Ratios In The Twenties Is Likely To Be Single Digit
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
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
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
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
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