Determining Fundamental Value: Focus on What Drives Change
https://youtu.be/OnGW9xYnSf4?si=GRpZjoO1KtlJrgvO Determining a stock’s fundamental value isn’t just about its current numbers — it’s about what is expected to change over time. In this video, we start with a simple analogy: when building a house, the materials give it a base value, but the fundamental value comes from other factors. Similarly, with stocks, ratios like […]
Value – Intersection of Scarcity & Demand
https://youtu.be/TSrs74d5cXY The value of anything is dependent on scarcity (supply) and demand. In this update, we show how scarcity (lack of supply) in oil and copper is causing elevated commodity prices. The opposite is happening in shipping rates. Here, demand is falling at a time when capacity is rising. Over the long term, it’s better […]
Value vs Growth: What is the Difference?
Value vs Growth is a common theme in the investing world. Commonly investors will bucket a stock into either growth or value. The problem with this practice is that value and growth are not mutually exclusive. Growth and valuation are two separate considerations in evaluating a company or a stock. If a company exhibits high […]
Growth vs. Value: The Great Divide
https://youtu.be/Zu2Dr7mu4fA We are seeing things that we haven’t seen since 2000 – buying on leverage, no earning stocks selling for crazy multiples of sales, and stocks with solid businesses not participating. The difference between growth stocks and value stocks has become as wide (or wider depending on your measurement) than 2000. Over long periods of […]