Compunding Quality

@QCompounding Quality Stocks Investor Former Professional Teaching people about investing on our website.

[Compunding Quality @Qcompunding]

Warren Buffett is my personal hero

He began purchasing Berkshire Hathaway in 1962 at $7.5 per share.

Today, one share of Berkshire Hathaway is worth more than $600,000.

I summarized all my key learnings in a free e-book of 60 pages:

[Compunding Quality @Qcompunding]

The best paper about Quality Investing?

The Equity Compounders by Morgan Stanley

It tells you everything you need to know about Quality Investing in 8 pages:

[Compunding Quality @Qcompunding]

Did you like this?

Here are 100 more examples of quality stocks:

[Compunding Quality @Qcompunding]

Use these criteria to eliminate 98% of stocks:

ROIC > 20%
Revenue growth > 9%
Free cash flow growth > 12%
Net Debt/FCF < 3x
FCF/Net Income > 90%
FCF Margin > 15%

15 stocks that match these criteria:

[Compunding Quality @Qcompunding]

• Microsoft
• Novo Nordisk
• Visa
• Mastercard
• ASML
• Hermès
• Booking Holdings
• Arista Networks
• Ferrari
• Cintas
• Fortinet
• Copart
• Idexx
• MSCI
• Evolution AB

[Compunding Quality @Qcompunding]

Use these criteria to eliminate 98% of stocks:

ROIC > 20%
Revenue growth > 9%
Free cash flow growth > 12%
Net Debt/FCF < 3x
FCF/Net Income > 90%
FCF Margin > 15%

[Compunding Quality @Qcompunding]

Joel Greenblatt taught value investing at the University of Columbia.

Studying there costs more than $80,000.

I am sharing his Class Notes with you for free.

Sign up here to receive it:

[Compunding Quality @Qcompunding]

Joel Greenblatt compounded at 45% per year for 19 years.

Here's what I learned from him:

1. On Wall Street, there ain't no tooth fairy

2. Finding one good opportunity a month is far more than you should need

[Compunding Quality @Qcompunding]

11. Most investors can't stick with a strategy that hasn't worked for several years in a row

12. If you buy good companies (high ROC) at bargain prices (high earnings yield), you'll do very well

[Compunding Quality @Qcompunding]

How Warren Buffett selects stocks:

- Debt/Equity < 0.5
- Current Ratio > 1.5 && < 2.5
- Price/Book < 1.5
- ROE > 8% consistent/increasing over last 10 yrs
- ROA > 6%
- Stable Book Value growth
- Stable EPS growth
- Stable Dividend growth
- Moat
- Interest coverage ratio > 5X

[Compunding Quality @Qcompunding]

10 Tips from Warren Buffett:

[Compunding Quality @Qcompunding]

Wisdom:

[Compunding Quality @Qcompunding]

The best investors in the world:

• Warren Buffett
• Peter Lynch
• Benjamin Graham
• Charlie Munger
• Joel Greenblatt

I compiled all their key learnings in a handy PDF for you:

[Compunding Quality @Qcompunding]

This 60-page PDF teaches you everything you need to know:

[Compunding Quality @Qcompunding]

Companies with the best business model according to Morgan Stanley:

[Compunding Quality @Qcompunding]

Grab them all in high resolution here:

[Compunding Quality @Qcompunding]

48. The ABC of investing

[Compunding Quality @Qcompunding]

47. Investing tips Peter Lynch

[Compunding Quality @Qcompunding]

MEGA COMPILATION

50 Visuals EVERY investor should know

1. How to read an annual report