In his seminal 1994 talk at USC’s Business School, Charlie Munger – the greatest mind ever to apply himself to investing – started by saying “the art of stock picking [is] a subdivision of the art of worldly wisdom”. Munger…
When I was in college my best friend had a serious interest in economics. The only child of Indian immigrants, he had a deep need to become wealthy. Perhaps he felt that wealth would cause him to be accepted and…
The prices of stocks are affected by literally anything and everything that happens in our world… But these happenings do not make themselves felt in Wall Street in an impersonal way, like so many jigglings on a seismograph. What registers…
At the end of his long life, Charlie Munger expressed doubts about the future of value investing: I think that the modern investors, to get ahead, almost has to get in a few stocks that are way above average. They…
Written on the occasion of Warren Buffett’s 93rd birthday (8/30/23): The game taught me the game – Jesse Livermore There are four perennial approaches to the stock game: value, macro, momentum and technical. Value investing was founded by Ben Graham…
In general, there are two types of successful investors – and they don’t understand each other. Corresponding to each winning type, there is a losing type. One winning type buys what Peter Lynch called “stalwarts” and is exemplified by Warren…
Cybersecurity leader Palo Alto Networks (PANW) reported earnings after the close Tuesday. I’ve long followed PANW because it has “Palo Alto” in its name and cybersecurity is a secular growth story. But I’ve never bought the stock because I’ve always…
In my opinion, the hardest thing in investing is admitting when you’re wrong. I have a tendency to hang on to my losers too long – and then they’re down so much that I figure there must be value by…
It must be noted that your Chairman – always a quick study – required only 20 years to recognize how important it was to buy good businesses. In the interim, I searched for “bargains” – and had the misfortune to…
Consider this Part III of a series of blogs about the perennial philosophy: buy high quality companies and hold them for the long term. I’ve linked to the previous two at the bottom of this post. Pepsi (PEP) reported stellar…