1.||The Wonders and Horrors of Compounding|
Google Price Target: $16,578.90
Some of you will immediately recognize this headline is a joke. For the rest of you, I was kind of hoping the ninety cents part would give it away.
If you're reading this because ...
[Added: 10 Mar 2006 Hits: 388 Words: 1708]
2.||Why Return on Assets is the Hit by Pitch of Investing|
Despite all appearances to the contrary, this is an article about investing - not baseball. So, to those of you who love reading about investing but hate reading about baseball: don't be deterred. It's worth reading all the way through.
[Added: 09 Mar 2006 Hits: 357 Words: 1276]
3.||Comparing Google's Search Franchise to McCormick's Spice Franchise|
Google has a competitive advantage. In fact, one might even say it has a franchise in web search. I wouldn't say that. I mean, Google does have a franchise; but, it doesn't have a monopoly on web search and never will. There ...
[Added: 02 Mar 2006 Hits: 347 Words: 1146]
4.||An Analysis of Overstock.com (OSTK)|
Why is a value investor writing about an unprofitable internet company? Because value investing is about finding dollars that trade for fifty cents; with a market cap of less than 75% of sales, Overstock.com (OSTK) looks ...
[Added: 18 Feb 2006 Hits: 347 Words: 1053]
5.||An Analysis of Lexmark (LXK)|
In 2005, Berkshire Hathaway bought about a million shares of Lexmark. I haven't followed this story closely, but I assume the stock was purchased by Lou Simpson rather than Warren Buffett. I have only two reasons for believing this: the ...
[Added: 14 Feb 2006 Hits: 565 Words: 1330]
6.||Against the Top Down Approach to Picking Stocks|
If you have heard fund managers talk about the way they invest, you know a great many employ a top down approach. First, they decide how much of their portfolio to allocate to stocks and how much to allocate to bonds. At this ...
[Added: 10 Feb 2006 Hits: 320 Words: 596]
7.||Why Are Duopolies So Competitive?|
A duopoly is a situation in which two firms control nearly all of the market for a product or service.
Duopolies can be surprisingly competitive. If you remember that the price of a product or service is determined solely by the ...
[Added: 03 Feb 2006 Hits: 271 Words: 518]
8.||On Formulaic Investing|
One question almost every investor asks at some point is whether it is possible to achieve above market returns by selecting a diversified group of stocks according to some formula, rather than having to evaluate each stock from every angle. There are obvious advantages to such ...
[Added: 27 Jan 2006 Hits: 280 Words: 1873]