| Description |
1 online resource |
| Contents |
The 52-Week Low Formula: A Contrarian Strategy That Lowers Risk, Beats the Market, and Overcomes Human Emotion; Copyright; Contents; Introduction; Foreword; Acknowledgments; Chapter 1: The 52-Week Formula; The Birth of The 52-Week Low from a 1,400 Book; Chapter 2: Herding and the Bandwagon Effect; Chapter 3: Filter 1: Competitive Advantage; The Five Competitive Forces; Barriers to Entry; Network Effect; Switching Cost; Powerful Suppliers; Substitute Offerings; What to Look For; Western Union (WU); Visa (V); Campbell's (CPB); Fastenal (FAST); Waters (WAT); Summing It Up |
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Chapter 4: Five Common Mistakes Investors MakeMistake 1: Trusting Your Emotions Instead of Engaging the Mind; Mistake 2: Lack of Discipline and What is the Ulysses Contract?; Mistake 3: Apathy the Halo Effect; Mistake 4: Information Overload; Mistake 5: Mistaking Value and the Risk of Familiarity; Chapter 5: Filter 2: Free Cash Flow Yield; Chapter 6: The Power of Fear and Decision Fatigue; Chapter 7: Filter 3: Return on Invested Capital; A Complicated Measurement; Turning Back the Clock; Chapter 8: This Time Is Never Different; Chapter 9: Filter 4: Long-Term Debt to Free Cash Flow Ratio |
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Calculating Long-Term Debt to Free Cash FlowA Few Notes about Debt; Long-Term Debt to Free Cash Flow: Head-to-Head; Bout 1: Heavy Equipment; Bout 2: Cosmetics; Summing It Up; Chapter 10: The Sunk-Cost Bias and Pride and Regret; Chapter 11: Filter 5: The 52-Week Low Formula and My Journey Trying to Disprove It; A Matter of Timing; My Journey of Skepticism; Chapter 12: The Importance of Embracing a Trailing 12-Month Return of -25 Percent; Chapter 13: The Problem with Selective Perception and Confirmation Basis; Chapter 14: Putting It All Together; Reviewing the Filters |
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Filter 1: Durable Competitive AdvantageFilter 2: Free Cash Flow Yield (Margin of Safety); Filter 3: Return on Invested Capital; Filter 4: Long-term Debt to Free Cash Flow Ratio; Filter 5: The 52-Week Low; Your Part to Play; Afterword; About the Companion Website; About the Author; Author's Note; Index |
| Summary |
"The 52-Week Low Formula is all about looking at companies to invest in and asking the following questions: Do they have a durable competitive advantage? Are the kind of company that is hard to compete with either because they have cornered a difficult market or because competing with them would require an unreasonably high investment by others? What is the purchase value of the company? If someone were to come in and buy everything, would they inherit debt greater than revenue? And, if you were to buy the company, would it be worth it? Would you make more money that you would simply investing in 10-year Treasury bonds? What's the Return on Invested Capital of the company? Is it using its money well to create returns or is it taking on bad investments that don't pay off? Can it pay its debt off quickly? There are a lot of companies out there that are making a lot of money, but can they, should all revenue activities cease and all debt come due, remain in the black? Finally, is it trading lower than it has in a year? The 52-Week Low formula is based on the idea that even the best companies go through a skid, a downturn in stock value. If a company answers the above four questions well, you want to know if it's going through a rough patch. This is the filter that requires discipline because common investors often overlook good companies when they are on the skids. But good companies always find a way to come back. That's what makes them good companies, what makes them the right companies to invest in, what makes investing in them worthwhile. In this book, readers will: examine the principles that go into selecting the 25 companies Wiley invests in every six months - what he looks for, what requirements he has and how those came to be. examine case studies of companies that have proven time and again that they can overcome obstacles and provide consistent growth for the long-term. show the results of a disciplined approach to investing over an emotional one and the mistakes investors make when they invest out of fear instead of a solid strategic approach. cover the evolution of the 52-Week Low, how the philosophy developed and became strategy and pitfalls he's experienced along the way."-- Provided by publisher |
| Notes |
Includes index |
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Machine generated contents note: Introduction Foreword Acknowledgments Chapter One: The 52-Week Formula Chapter Two: Herding and the Market Chapter Three: Filter #1: Competitive Advantage Chapter Four: Five Common Mistakes Investors Make Chapter Five: Filter #2: Free Cash Flow Yield Chapter Six: The Power of Fear Chapter Seven: Filter #3: Return on Invested Capital Chapter Eight: This Time is Never Different Chapter Nine: Filter #4: Free Cash Flow to Long Term Debt Chapter Ten: The Sunk Cost Bias Chapter Eleven: Filter #5: The 52-Week Low Formula and My Journey Trying to Disprove It Chapter Twelve: The Problem with Selective Perception and Confirmation Basis Chapter Thirteen: Putting It All Together Afterword About the Author About the Companion Website Index |
| Bibliography |
Includes bibliographical references and index |
| Notes |
English |
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Print version record and CIP data provided by publisher |
| Subject |
Investments.
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Success in business.
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Competition
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Investments
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BUSINESS & ECONOMICS -- Finance.
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Competition
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Investments
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Success in business
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Finance.
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Management.
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Business & Economics.
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Investment & Speculation.
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Management Styles & Communication.
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| Form |
Electronic book
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| LC no. |
2014004932 |
| ISBN |
9781118853535 |
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1118853539 |
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9781118853573 |
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1118853571 |
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9781306638661 |
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1306638666 |
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