E-z-vesting

Investing made easy

  • a

  • Disclaimer

    Investments or strategies mentioned on this site may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned on the site. Before acting on information on this website, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

  • Copyright

    (C) 2006 by Ameya Desigar. All rights reserved.

  • Blog Stats

    • 55,048 hits
«
»

Back after a loooong break

Posted by adesigar on August 26, 2007


6 months without a post. Its time to dust off this site again. I thought i could start working on the blog back in February, but i was wrong. There weren’t enough hours in a day. I was wishing for 48 hour days. Things are finally settling down (fingers crossed).

Its also been 1 year since i started this blog so its time to lookback and see how i did.

Next Warren Buffett or Berkshire Hathaway – MKL/WTM/LUK/BAM are up SHLD/IACI are not. This is a very long term play so its no use looking at it over 1 year

What I got wrong

  • Is Google’s domination about to end. – They took market share from most competitors and shares have increased 25%. I still don’t like the company’s moat so I still don’t like the stock.
  • Investing in the Video Games industry – I was wrong on the game developers i picked. ERTS and Konami have barely moved.
  • Time for a market correction - I was right about the market needing a correction. I was wrong about when it would happen.
  • Whats next for Sears Holdings – I hoped SHLD was all Eddie Lampert would work on but i was wrong, he is starting a new fund to invest in Citigroup stock. I also hoped to see some acquisitions/investments using SHLD’s money which is currently being used for stock buybacks.

What i got right

  • Ka-ching in on the dollars decline. – The dollar is significantly lower against most currencies
  • Valuing Berkshire Hathaway – On Aug 23rd 2006 I said the B shares which were trading at $3100 are easily worth $4000. One year later and they last closed at $3995.
  • Richest countries in the world – People seem to have taken a liking to Canadian Energy and Australian Mining companies this past year.
  • Water the most important natural resource – A 25% increase in the water index says it all.
  • Has gold lost its glitter – With all the market volatility that took place this year Gold should have shot up but it didn’t.
  • Investing in the Video Games industry – Gamestop and Nintendo are both up substantially

How did I do? You be the judge.

This entry was posted on August 26, 2007 at 5:42 pm and is filed under Articles. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.

One Response to “Back after a loooong break”

  1. SuperValue said

    November 17, 2007 at 7:22 pm

    Hi,

    I’ve been reading your posts, which have been quite informative. I’ve been particularly interested in your posts about finding the “Next Berkshire”. I think all the candidates have positive qualities and good management.

    My question is, how do you value a holdings company like those in the “Next Berkshire” list (WTM, LUK, MKL, SHLD” using financial data? I normally take a look at free cash flow minus cap ex, and do a DCF as a first step when valuing companies, but that doesn’t seem to apply for these companies.

    In the end, I want get a rough feel for when these companies’ stock prices are undervaluing the companies’ true worth, but I don’t even know where I would start.

    I know this is a “million dollar question” type of question, but I’m just wondering what metrics I should be using to judge a holdings company.

    Thanks for your help.

Comments are closed.

«
»