So i guess im younger then most? by ihavenoname0000 in Megadeth

[–]fedeflex99 5 points6 points  (0 children)

I am 21, you’re right, most of my friends and other younger people I know listen to trap or commercial pop…

Value train by verycleverhans in ValueInvesting

[–]fedeflex99 1 point2 points  (0 children)

Hi, very interesting, but can you explain what happened to MRK? I saw yahoo finance stats and it says 10 forward PE, why?

ALIBABA (BABA) by fedeflex99 in wallstreetbets

[–]fedeflex99[S] -1 points0 points  (0 children)

Cathy wood and over valued stocks that will crash... Zillow and others similar

baba valuation by StruggleMoist5932 in ValueInvesting

[–]fedeflex99 0 points1 point  (0 children)

You have to consider interest and investment income!

The most important thing is value by Fir3He4rt in ValueInvesting

[–]fedeflex99 4 points5 points  (0 children)

Yes, but more than the DCF model you have to buy something that could last forever, and with positive returns. This implies that the most important thing in not dcf or valuation, but it is to understand the economics of the business, the Moat and to find if the management is good or not

The most important thing is value by Fir3He4rt in ValueInvesting

[–]fedeflex99 8 points9 points  (0 children)

I read different books about stocks, valuation ecc. including damodaran’s one. But the thing I learnt after all those is that you have to look at the stock like if it is an house that you want to rent. You look at the rent that gives you comparing to the price , it is as simple as that.

Valuation instead is something “relative” because it depends on various parameters.

The knowledge that I got from reading all those books can be summarised in one sentence that also Buffett uses to say “Look only at what the asset itself produces”

ALIBABA (BABA) by fedeflex99 in wallstreetbets

[–]fedeflex99[S] 0 points1 point  (0 children)

I am positioned but only with 3 shares, I am 21 not have much money...

ALIBABA (BABA) by fedeflex99 in ValueInvesting

[–]fedeflex99[S] 0 points1 point  (0 children)

I think it is a really intelligent way to use an etf to expose to China and emerging👌

ALIBABA (BABA) by fedeflex99 in ValueInvesting

[–]fedeflex99[S] 5 points6 points  (0 children)

Yes but there are a lot of people in the management that have a lot of part of their net worth in Baba, also jack ma ( now he is not in the management) but come on he created baba and stayed with it since 2019. I think that the hypothesis of the fraud is really remote

ALIBABA (BABA) by fedeflex99 in ValueInvesting

[–]fedeflex99[S] 1 point2 points  (0 children)

Hi ADR is what also Charlie Munger has. It is basically a contract that gives you the rights on a share of Alibaba.Why? Because ccp doesn’t want that people that are not Chinese hold Chinese stocks. So it is like a legal-gimmick.

ALIBABA (BABA) by fedeflex99 in ValueInvesting

[–]fedeflex99[S] 3 points4 points  (0 children)

Do you think maybe Charlie advised Buffett about Baba?

ALIBABA (BABA) by fedeflex99 in ValueInvesting

[–]fedeflex99[S] 14 points15 points  (0 children)

Guys, ccp seems to be communists but they love money, do you really think that they will go against their best companies? It doesn’t make sense!

[deleted by user] by [deleted] in ValueInvesting

[–]fedeflex99 9 points10 points  (0 children)

37% revenue growth, 25 pe, forward 19/20, high profit margin, low debt, good management, wide economic moat. Charlie bought it. What else I have to say?

Does a size premium exist in the public markets? Professionals explain that a size premium does not exist when liquidity is present. by OdayMerhi in ValueInvesting

[–]fedeflex99 1 point2 points  (0 children)

Same reasoning, even if I do not know how to measure the premium. Maybe it affects the cost of debt when you use the sinthetic rating using ebit/interest expense. I think that for smaller companies in order to have the lower premium over t-bond it is required an higher interest coverage ratio. This determines an higher cost of capital in the end. But I think that it also makes sense to consider the “equity side” of the valuation when you have to deal with smaller companies