Saturday, July 27, 2024
Over the last few years, we have witnessed the creation a whole new playground for value investors, distressed securities specialists, and—more recently—private equity funds. I’m talking about SPACs. These special purpose acquisition companies (SPACs) were all the rage in 2020 and 2021. Everyone touted them as pre-IPO shares, and wild-eyed speculators engorged with meme stock […]
Every week I go through institutional and insider filings, treating the SEC filings as my personal unpaid research service. This research helps me know which stocks the best money managers, private equity funds, and hedge fund managers are buying. This past week I noticed a very successful under-the-radar institutional investor was making considerable additions to […]
It is official: we are in a bear market. What should we do now? Sell stocks? Assume the fetal position and hide under the kitchen table with a death grip on a bottle of cheap tequila? Get a medical cannabis card to ease the pain of losing money? Buy gold and silver? Hide all our […]
I am always hunting for ideas that can boost portfolio returns for individual investors. I read, I ponder, I imagine, I study, and I test these ideas. Many of them end up in the junk pile as good ideas gone bad—these are usually the ones that sounded the most exciting when I first had or […]
In 2016, renowned value investor Monish Pabrai developed a simple concept called “Uber Cannibals.” He suggested that buying a five-stock portfolio of companies that were buying back large amounts of their own stock, that were cheap based on undefined valuation multiples, and that fit his definition of quality, would outperform the market.I have discussed many […]
Like everybody else, I love dividends. Always have and always will. I am also a big fan of stock buybacks. I get a kick out of the endless debate about stock buybacks. They are neither good nor bad in and of themselves. Stock buybacks are fantastic at low valuations with funds generated by the business. […]
I am a huge fan of special situation investing. Situations that involve unusual buying activity by insiders or corporate activists, merger arbitrage and bidding wars, and other unusual events can offer the opportunity for outsized profits no matter what the markets might do. Sir John Templeton once remarked that it is impossible to beat the […]
Enough is enough. I get it—European bankers are crooks, thieves, and charlatans. The European Central bank has made a mess of everything. The bankers take too many naps and spend too long on vacation. What difference does it make anyway? The Europeans who don’t sweat to death this summer will freeze to death when Putin […]
When we talk about tech stock investing, we hear discussions of all sorts about different measures used for picking stocks. For example, some tech investors use year-over-year revenue growth. Others subscribe to a theory that has been floating around for many years, that the secret to picking tech stocks was looking at the percentage of […]
Over the past year, making money in the stock market has been tough. Inflation is spinning out of control, the Federal Reserve has been raising interest rates for the first time in years, and big tech has finally begun to fall out of favor. Look back at what would have happened if you had put […]
