In this article, I will show you how to effectively read and analyze an income statement. This statement summarizes all revenues and expenses over a particular period, and is presented in quarterly (10-Q) and annual (10-K) reports. The purpose of an income statement is to show a company's financial performance over a particular period, which […]
In this article, I will show you how to analyze and protect your portfolio against inflation, regardless of the current market environment. Inflation is one of the most important investing topics, and as value investors, we can position ourselves in a way that we can profit from inflation, or at the very least, not let […]
This is a link-heavy comprehensive list of resources for investors, which the average retail investor can use to conduct thorough investment research for little to no cost. This list will be regularly updated. If you have any recommendations that will make this list more useful, please contact me! Note: Referral links may be included (at […]
In this article, I will show you how to apply comparable company analysis using valuation multiples, and will use this valuation method to value a real company in the stock market. Comparable company analysis (aka relative valuation or valuation using multiples) is the most popular valuation practice, where you're comparing a company to its peers […]
In this article, I will explain how to calculate and interpret the weighted average cost of capital (WACC), and will walk through a step-by-step example for a real publicly-traded company in the U.S. stock market. The WACC is a calculation of a firm's "cost of capital," which in relation to investors and analysts is the […]
In this article, I will show you how to calculate the intrinsic value of a company like Warren Buffett, using his approach to discounted cash flow (DCF) valuation. This will be accomplished by looking into the Berkshire Hathaway shareholder letters, the Berkshire Hathaway website, and from reading the transcripts of any speeches and interviews Buffett […]
In this article, I will discuss how investors can use various ratios, yields, indicators, and an understanding of the current state of the market to recognize if the stock market is overvalued, fairly-valued, or undervalued. In short, this process involves looking at the S&P 500 P/E Ratio, the Shiller P/E Ratio, the Buffett Indicator, the […]
In this article, I will show you how to evaluate and compare mutual funds, regardless of the type or objective of the fund. This will help you compare similar mutual funds and decide on which mutual fund best suits your investment needs. This article will be particularly useful for fund evaluators, passive investors, and the […]
In this article, I will discuss the different types of mutual funds, and will provide examples for each mutual fund classification as well. This will help you decide on which mutual funds to invest in, regardless of your investment time horizon and goals as a hands-off investor. Note that all of the examples provided are […]