tag:blogger.com,1999:blog-9031526429482744032.post4777000766271530501..comments2024-03-27T08:05:06.228-07:00Comments on Don't fuck with Donville: Stericycle exploring new depthsPenetratorhttp://www.blogger.com/profile/01670644029306203741noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-9031526429482744032.post-81559142974818308852017-07-23T21:12:30.753-07:002017-07-23T21:12:30.753-07:00Agreed Unknown. ROE is the best measure of a comp...Agreed Unknown. ROE is the best measure of a company but you have to consider the overall picture. <br /><br />A company can have a great ROE but pay out all of its earnings in dividends and it won't grow. The only return you would get would be the dividend yield (except PE multiple expansion but that is temporary). For example take a look at Vitreous Glass.<br /><br />Don't look at P/BV necessarily but BV/S growth. The greats companies with a sustainable advantage and skillful management can reinvest their retained earnings and maintain a high ROE year after year. The company has to have enough organic growth opportunities, acquisition targets or do enough share buybacks to maintain the steady BV/Share growth and a high ROE. DMhttps://www.blogger.com/profile/05310696150910715083noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-77188379528569256962016-12-19T14:35:55.736-08:002016-12-19T14:35:55.736-08:00It's funny that you don't think about book...It's funny that you don't think about book value howewer you always talk about ROE that equals to Earnings/Book Value. So, if BV isn't that important, why do you always use ROE to value a company?Pephttps://www.blogger.com/profile/12081031405921570065noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-71996238495751209492016-09-25T06:40:15.622-07:002016-09-25T06:40:15.622-07:00I very rarely look at book value. I don't inve...I very rarely look at book value. I don't invest that way. The only stock I'd check thinking about book value would probably be Berkshire. Penetratorhttps://www.blogger.com/profile/01670644029306203741noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-10481868561674157012016-09-23T14:13:47.624-07:002016-09-23T14:13:47.624-07:00Hey Penetrator fuck that feels weird to write . G...Hey Penetrator fuck that feels weird to write . Great Blog but I think that you should consider the Book Value per share growth rate more. It isn't a well followed value but if current share value is bv/s * ROE * PE. then the future value of a company would be BV/s * (1+annual bv/s growth rate) ^years * future ROE * future PE. You have to estimate the growth rate, future PE, future ROE. Discount that back to today with your desired rate of return and you get intrinsic value. Buy it for less than that and you get your margin of safety. Fuck ya! Sorry just trying to fit in. You need consistency and a moat to use the method but it's Buffet or as close as I can figure. What do you think?DMhttps://www.blogger.com/profile/14537966817780419803noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-13590306275836589422016-09-23T14:12:43.810-07:002016-09-23T14:12:43.810-07:00Hey Penetrator fuck that feels weird to write . G...Hey Penetrator fuck that feels weird to write . Great Blog but I think that you should consider the Book Value per share growth rate more. It isn't a well followed value but if current share value is bv/s * ROE * PE. then the future value of a company would be BV/s * (1+annual bv/s growth rate) ^years * future ROE * future PE. You have to estimate the growth rate, future PE, future ROE. Discount that back to today with your desired rate of return and you get intrinsic value. Buy it for less than that and you get your margin of safety. Fuck ya! Sorry just trying to fit in. You need consistency and a moat to use the method but it's Buffet or as close as I can figure. What do you think?DMhttps://www.blogger.com/profile/14537966817780419803noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-4469532633875789922016-09-21T20:38:34.647-07:002016-09-21T20:38:34.647-07:00LAD is a much better investment. Like you said, ev...LAD is a much better investment. Like you said, everything looks better than carmax when looking at key statistics. There was a time when Lithia Motors was a darling of the momentum investors and a top pick of INVESTORS BUSINESS DAILY newspaper. They wanted it at 30x earnings but they are not sure now that it is a bargain.Angelo Dallashttps://www.blogger.com/profile/15684479515068422912noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-30031528278181153622016-09-21T14:02:30.209-07:002016-09-21T14:02:30.209-07:00To me, everything looks better with Lithia Motors....To me, everything looks better with Lithia Motors.Penetratorhttps://www.blogger.com/profile/01670644029306203741noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-70209934478115197382016-09-21T04:54:06.562-07:002016-09-21T04:54:06.562-07:00Shares of CarMax Inc. KMX, -5.49% tumbled 5.5% in ...Shares of CarMax Inc. KMX, -5.49% tumbled 5.5% in premarket trade Wednesday, after the used car seller reported disappointing fiscal second-quarter results. Net earnings for the quarter ended Aug. 31 were $162.4 million, or 84 cents a share, compared with $172.2 million, or 82 cents a share, in the same period a year ago.Angelo Dallashttps://www.blogger.com/profile/15684479515068422912noreply@blogger.comtag:blogger.com,1999:blog-9031526429482744032.post-30709495039139700402016-09-20T20:24:00.365-07:002016-09-20T20:24:00.365-07:00The name that goes best with the title EXPLORING N...The name that goes best with the title EXPLORING NEW DEPTHS is...<br /><br />Concordia Healthcare (now under $7). <br /><br />As for Mr Rochon. One of his valuable lessons is to avoid cyclical companies because it is hard to predict their earnings. It's a trap I have fallen into more than once. For example, the automotive industry is cyclical. Of course, Mr Rochon loves the biggest retailer of used vehicles in America (CarMax). He realizes growth may slow in the short term, but considers CarMax a great long term play. CarMax revolutionized the used car business (low prices, no haggling or negotiating, etc)Angelo Dallashttps://www.blogger.com/profile/15684479515068422912noreply@blogger.com