Sometimes I break my own investing rules. For example in the last post I mentioned how classic value investors avoid financial firms due to the historical instances of weak balance sheets and cavalier use of leverage. I took a particular swipe at Fairpoint Group (FRP) commenting that: assets of £10.6 million is listed as ‘unbilled income’ – well if income is unbilled how … [Read more...] about Long Provident Financial at 585p
In a series of posts that sprang from Warren Buffett's latest 13F filing I have responded to two questions on social media regarding the improved fortunes of Southwest Airlines (NYSE: LUV): @djthomas would be interesting to post your GM% improvement for LUV against oil prices to see how much correlation there is. Bet it's a lot. — Peter Harris (@2peterharris) March 20, … [Read more...] about Southwest Airlines (NYSE: LUV) Gross Margin % v Oil Price: Is There A Correlation?
LGO Energy (LSE: LGO) is an AIM listed oil and gas producer with onshore assets in Trinidad and Spain. From their annual report for the twelve months to 31 December 2014: During 2014, as in 2013, the operational management of LGO concentrated primarily on advancing the field development operations in trinidad. this involved drilling the first operated well in LGO’s history, … [Read more...] about LGO Energy: The Oil And Gas Vampire
I've written about Walter Schloss often on this site and for good reason: he took Benjamin Graham's original value investing philosophy and ran with it for the rest of his career and made a fortune for himself and his clients. Instead of a long-form blog post about Schloss I thought I'd share with you a collection of quotes from the man himself. When I read the proof copy … [Read more...] about 89 Awesome Value Investing Quotes From Walter Schloss
In part from this recent post and a recent comment on this post, today's post will show you how you can screen for UK stocks that are selling below their cash using ADVFN. The following procedure assumes that you already have a free ADVFN account. If not you can sign up here. How To Screen For UK Stocks Selling Below Their Cash Once you've logged into ADVFN click on … [Read more...] about How To Screen For UK Stocks Selling Below Their Cash
There is a raging discussion going on in one of the Linkedin groups I'm a member of that has taken many twists and turns and highlights why Graham and Dodd are relevant today. The current discussion is on whether or not Apple Inc (NASDAQ: AAPL) represents a Graham and Dodd stock at today's prices. The only way to answer this question is to: Identify the criteria that … [Read more...] about Why Graham And Dodd Is Still Relevant Today
A balance sheet also sometimes referred to as a statement of financial position is a document prepared by an accountant that shows you what a company owns and what it owes. Companies are required by law to publish their accounts including the balance sheet every year at a minimum but may also publish their accounts every 3 months (US) or 6 months (UK). This is what Bruce … [Read more...] about What Is A Balance Sheet?
Here are the results from the defensive portfolios for the second quarter of 2013: UK YTD% 2013 QTD (Q2 2013) US YTD% 2013 QTD (Q2 2013) FTSE 100 3.87% -2.74% S&P 500 12.27% 2.04% Asset Value Portfolio -7.55% -3.37% Asset Value Portfolio -1.10% -1.79% The Relatively Unpopular Large Company 5.63% -1.61% The Relatively Unpopular … [Read more...] about Testing Benjamin Graham; Second Quarter Results 2013
In the previous post, we combined the investing attributes of Ben Graham and Walter Schloss to use them in ADVFN. The advantage of this is that we can reduce the amount of time required to research undervalued companies. Today, I will guide you through the process of setting up ADVFN to screen for companies meeting the Graham/Schloss criteria. Using ADVFN To Find … [Read more...] about How To Use ADVFN To Invest Like Ben Graham And Walter Schloss – Part 2
Today's post is part 1 of 2 in which I share with you how Walter Schloss took Ben Graham's balance sheet approach to investing and made it his own. In part 2 in this series of posts, I show you how you can use ADVFN to obtain a list of stocks and shares using Schloss' interpretation of Graham's criteria. This is important because Schloss' track record is well documented … [Read more...] about How To Use ADVFN To Invest Like Ben Graham And Walter Schloss – Part 1
During my search for a way to start investing I stopped at book value. I discovered that Ben Graham, Warren Buffett and Walter Schloss used book value to value businesses. Thus The Shares And Stock Markets Blog was born. I also discovered that some professional money managers employ a strategy of purchasing shares and stocks in companies that sell below their book … [Read more...] about How To Value A Company; The Lazy Investors Guide