Idol, how about making a summary of" Millionaire: Beyond Six Zeros: The Daily Grind And The True Cost Of Making Millions" by Right as Rain Publishing, its available in Amazon.com
Hello My Swedish friend, I love your channel! I've seen almost all of your video's but now I'm trying to find the stock screener that you mentioned in one of your videos? What stock screener do you use for value investing?
human & corporate life cycle is kinda different, "risk increases when maturity is reached" is quite misleading for me, the longer company can survive & mature the more safe it'll be as long term stock, but if we talking about its growth of course mature company has limited/dying growth (but still lower risk than a quick growth stock) and sometimes old & conservative company can be a good & safe "growth stock" too if they can innovate (or at least maintain their moat). nice video as always 👍
Elexus Gaming thank you for your support! I think the truth lies somewhere in between. Nassim Taleb talks about the “Lindy Effect” and that non-perishable things have a life expectancy that is proportional to how long they have survived so far. I tend to like this/agree with this logic. Of course, survival and shareholder profitability are two different concepts, and growth in any company or industry seems ultimately to be self-defeating. I think that price must always be the most important variable in evaluating stocks and what type of risk they carry. But I think I’ll almost always go for a cheap stock in a growth phase over a cheap stock in a maturity or declining one.
well said! i would also add that to pick a stock which earnings and sales are skyrocketing means to pick a stock that is certainly overvalued. And that is one of the greatest risks in investing
@@RedCandleWax24 I agree with you . What i meant is that if the business is skyrocketing in earnings and sales is very likely to be overvalued as well.
“Even the amateur investor who lacks training and time to devote to managing his investments can be reasonably successful by selecting the best-managed companies in fertile fields of growth, buying their shares and retaining them until it becomes obvious that they no longer meet the definition of a growth stock.” - T. Rowe Price
Nobody can become financially successful over night. They put in background work but we tend to see the finished part. Fear is a dangerous component, hindering us from taking bold steps we need in other to reach our goals.
It is a nice qualitative intro. However, it is missing growth investing based on quantitative analysis. There are rules for price targets. As some might have noticed you can overpay for growth companies, especially if growth investing is en vogue and there is too much cash chasing too little growth.
This book is a beast !! When i'll have more money in my pocket i'll focus more on growth investing !! For now I'm focusing on value investing while I don't have much to invest now. One year later I'll be on track. Thanks for all the gold sharing !! ⭐ 💪💪
Love your videos man, awesome work! On this video you mention Xerox and that sorta cracked me up cuz I made 60% profit on it in last ~9months ;) just a shout out to a resilient company that adapted somewhat to the current situation
What about the Lindy effect? That is, things that have been around a long time tend to be around for a lot longer. Since companies are not humans and thus do not have an expected lifespan it’s a lot harder to determine if they are at a higher risk of dying...At least by age alone.
Good that you point it out Sunny. I think the Lindy Effect is a good thing to incorporate in your stock market analysis but it does have its limitations. For once, stock owners are not looking for survival, but rather for return on capital. The death of high profitability and growth may not necessarily be the death of the company, but it should mean that any smart shareholder is selling (should they not get a true bargain price - this is something that I think is way too important to ever leave out)
I think Lindy’s effect is less applicable for companies than they are for nonperishable things like ideas or technologies. I think it is even less applicable now for companies due to the speed of recent technological advancement.
According to me , picking growth stocks is only good in unconventional industries like electric cars etc. Otherwise for others, value investing is preferred. 👍👍👍👍👍Great video.
Thanks for sharing Sarthakk. For any long-term investor, I think it’s a mistake to leave price out of the equation, no matter what type of growth one sees 😊
I dont like this value vs growth division. I consider myself a growth investor, as I don’t own any company that I think will not grow substantially in the future. But it does not mean I don’t pay attention to the price! If most of it is already discounted in the price, then I skip it. I like growth where others don’t see it. And most of my winners come from pretty conventional industries. Because some people pay too much for growth in industries like EV for example.
Agreed, with all the people who's been successful using different strategies I think it would be foolish to say that only one can be profitable. Some strategies have higher expected returns than others though, I think, and some are easier to stick with as well.
I prefer giving you the tools so that you can invest yourself rather than just straight out giving you the investments. There are multiple reasons for this, but for starters, I think it is hard to stay with a stock through thick and thin if you don't know the underlying reasons for why it is a good investment yourself. Any stock that's been bought due to a "tip" will be sold in the next bear market, I can pretty much guarantee it 😉
It’s Nassim Taleb’s Lindy Effect? 😊 I think that it does have its usefulness when investing, but it also has its limitations. For starters, investors are not looking for companies that are just surviving, but for those that can produce a high return on capital. An investment can be dead in my eyes even if I expect the company to survive for many years ahead. One component that must be considered, which I felt was left out of this video, is that of price though. While I’m almost always willing to pay a higher price for a stock in a growth phase, rather than a decking or maturing one, I’d rather buy a dirt cheap stock in a maturity phase than an ultra-expensive one in a growth phase.
@@vantablack9817 I looked at every company in the S&P500 and while there is survivor bias, it's interesting to see the kind of companies that have survive the longest. CVS for example, I invested in that recently.
Greetings mate, this is Very Insightful content However personally I feel, those who would allow the market dynamism determine when to trade or not are either new in stocks / crypto currency world in general or probably just naive, stocks and crypto currencies have seen far worse times than this , Enlightened traders continue to make good use of the dip and pump even acquiring more equities towards trading sessions. I know doing Technical Analysis can be quite difficult which is why most newbies / traders neglect day trading their coins and stick to Hodling which is very dangerous as when the market goes bearish, they loose their investment. 'The strongly advise any newbie / traders to buy the dip and seek help from not just any trader but an established trading expert with at least 89% trade accuracy. I underwent series of trading loses'd best not talk about before l was introduced to trading analyst Mr.Elvis Hercules My contact with him has been the Hallmark of this year for me, under his careful guide and his signal service I've been able to recover my losses and even grow my trading portfolio massively from 13k to 50k in just 5 weeks. I wil | advice traders esp newbies to have orientation of trading before they involve in it. Mr. Elvis makes you learn daily while you make profit with his signals. He can be contacted, at 📧 ( elvishercules48@gmail.com)
Great movie as always! Love them! In an previous movie called FINANCIAL SHENANIGANS you explained that you should be cautious of companies that does a lot of acquisitions and referred to Betsson again. Could you please explain further on how betsson was a bad investment and what was bad about the acquisition they made?
Cheers Sebastian! I think one of their greatest problems became the fact that they had too many brands to achieve any economies of scale, both in their marketing and in the technology itself. They had to integrate each new company into their existing platform, and I think it was more problematic than they first anticipated. Moreover, they had management issues (high turnover) and if the acquisitions were excluded, the company didn't grow much.
I like your videos and way of explaining, but could not follow up after min 8 😔 which books would you recommend for complete beginners? Thanks for your videos!
How does this account for consolidation? It seems the market is pretty regularly gobbling up 'growth' stage companies into larger umbrella companies which are pretty stable. Does that do anything to change the long term planning?
That means you get a nice payday from your holdings! It’s a good thing. Only downside is missing the theoretical growth that could have happened if they didn’t get bought.
And it doesn't mean that it doesn't work the same either :) The analogy is just a way of making people understanding the concept, but I agree that it can be misused.
Tack Nils! 🌟 Eventuellt kommer jag lansera någon rankinglista så småningom, men jag tycker det är ganska svårt att bedöma och tycker väl att innehållet är viktigare 😊
They do indeed. I think that there are some strategies that tend to have higher success ratios than others, but I also think that there isn’t a “one and only” way to earn money in the stock market. I’d never buy a stock without letting the price have a strong influence on that decision, but some investors, like T Rowe Price, seems to have been able to be successful largely without it
@@TheSwedishInvestor Want to give back with some suggestions you might want to implement: Having a quiz as you did on your "4 hour work week" video and showing the questions at the beginning and end of the video is a great way of engaging with your viewers. Also, might be more enticing for viewers to subscribe if you state what book(s) you are going to cover next at the end of your videos. Just a few suggestions. Love your work!
