I covered BT recently where we took a brief look at it's accounting scandal in one of it's Italian businesses and decided that it did not have a sufficient margin of safety to buy stock. At the same time BT (LSE: BT.A) reported a 51% decline in third quarter in net profits as a result of the Italian business write-down. Compounding the issue BT warned revenue for the … [Read more...] about Is There A Clear And Present Margin Of Safety In BT Stock?
margin of safety
So towards the end of last year whilst digging through some old paperwork I came across an old private pension. On closer inspection I found that it was well over 10 years old and had returned 5% annualised which includes ad-hoc contributions I'd made years earlier. 5% annualised is less than some index trackers I've seen which have exceptionally low management fees and … [Read more...] about How I’m Growing My Retirement Fund With Low-Cost Value Investing
From the mailbag, Paul writes: "I have to ask David, what are your thoughts on Tesco? Lost 1/3rd of market cap in a short time and now a forward yield of 6%. It is still a market leader and surely makes enough cash to turn the decline around, though admittedly it is a but like turning an oil tanker. Whilst I don't live in the UK at present, I was visiting recently and I … [Read more...] about Is The Tesco Share Price Decline A Green Light To Load Up?
Premium subscribers to The Value Investor Report were first alerted to this mining stock on 6 June 2014. Since then it has soared 13.47% as at yesterday's close. I believe there is still more to come. A lot more. My conviction stems from the fact that this is a mining company that frankly should never have been sold off quite as badly as it did; it was a simple case of … [Read more...] about 13.47% Gain In Six Weeks. . . And There’s More To Come
I have plans to initiate a position in regard to stocks mentioned in this article. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from subscribers to Premium Membership). I have no business relationship with any company whose stock is mentioned in this article. Buying fear is the very idea of value … [Read more...] about A Brilliant Example Of Buying Fear
Protecting yourself from stock market losses is a built-in feature of the value approach to investing in much the same way that a camera comes as standard on a smart phone. Here's an analogy. As an ex rugby football scrum half (or 'inside half' as my own father likes to call it since he's a proud Welshman from the Deep South) I can tell you that there is nothing more … [Read more...] about How To Protect Yourself From Stock Market Losses
Dear Investor: What Has Worked In Investing is an attempt to share with you our knowledge of historically successful investment characteristics and approaches. Included in this booklet are descriptions of over 50 studies, approximately half of which relate to non-U.S. stocks - Tweedy Browne Company LLC So begins the the most important collection of studies of value investing … [Read more...] about What Has Worked In Investing
Thanks for reading today's post and please share the manifesto using the social media icon buttons at the end of this post. … [Read more...] about The Shares And Stock Markets Value Investing Manifesto
The best thing a human being can do is to help another human being know more - Charlie Munger Charlie is basically saying that on a one-to-one level, sharing knowledge and understanding with people is the best way to help them. Free tutorials in value investing is how I have tried to follow Charlie's example. This is the central theme of the Shares and Stock Market blog … [Read more...] about Get A Free Value Investing Tutorial From A Professional Money Manager
As is a value investor’s habit, I thought I’d share with you my quick take on 3 companies from last week’s 52 week lows from the London Stock Exchange. An interesting idea considering the current valuation of the market and last week’s volatility due to global growth and the sell off in commodities. There’s always a fair amount of dross to go through when engaging in this … [Read more...] about The London Stock Exchange; Scouring The 52 Week Lows
A recent article by The New York Times showed that investors in mutual funds returned 4.25% annualised over the last 20 years. The S&P 500 returned 8.21% over the same timespan. This means that the average investor underperformed the market as a whole by 4 percentage points over 20 years. The main reason: investors buy into the market at highs because they are euphoric … [Read more...] about 3 More Actions You Can Take To Become An Awesome Value Investor