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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Nya_Quy who wrote (63448)	3/15/2020 3:43:09 AM
From: bruwin	Respond to of 78776

Just one or two things in closing ..... 1) Warren Buffett's "returns" ... Looking at BRK.A's Steady, INCREASING share price since Way Back and just before the recent overall market collapse ---> ...... and comparing it to TLRD's performance ---> ..... I'd say I'd rather be following Buffett than TLRD's setup. TLRD's share are now worth roughly what they were 27 Years Ago, back in 1993 !! I'd say that there's a difference between Investing for the Longer Term and Trading for the Shorter Term and being able to choose a company that is best suited to achieve that Longer Term goal. 2) Regarding "Cash Flow", the aggregated calculation of "Cash" in a company, as it appears in the "Cash Flow Statement", ends up in "Assets" in the Balance Sheet. The Balance Sheet Equation is :- Share Capital + Retained Income = Total Assets - Total Liabilities. The Bottom Line of the Income Statement goes into "Retained Income". So if a company Loses money, i.e. a Negative Bottom Line, then the left side of the equation is "reduced", and likewise the right side because they must "Balance", irrespective of its Cash. And therefore its Balance Sheet gets "weaker". Assuming, of course, that no new shares have been issued in the period. 3) And finally, "but I am not able to identify competitive advantages that are sustainable for long periods of time" ..... if you are interested to actually finding that out, I can only suggest that you get yourself a copy of :- "Warren Buffett And The Interpretation Of Financial Statements" By Mary Buffett and David Clark (ISBN 978-1-84737-437-0). It's clearly laid out within those pages as to how to identify 'Durable Competitive Advantage' initially, and how to keep a check as to whether or not a company is still on track in that regard by largely referring to a set of strategic financial ratios, among other things. At the end of the day it's Your money and Your investing strategy, so one hopes, for your sake, it all goes "according to plan". Good Health To You Too .... -bruwin-