Commentary

Tech Stock Hail Mary

The most famous “Hail Mary” in American football history happened in 1984. On the very last play of the Boston College football game, an undersized quarterback named Doug Flutie threw a bomb into the end zone to teammate Gerald Whelan. Boston College had won the game!

Commentary

Good Odds and Odd Goods

The paradox that this marriage potential created at the college was that the odds are good, but the goods are odd. This is the statement that can be made for common stock investing today.

Commentary

No Dating Game for Buffett

Watching Warren Buffett and Charlie Munger Saturday in Omaha caused us to think about a very popular 1960s TV show called, “The Dating Game.” Hosted by Jim Lange, the game was played with the host on one side of a wall with a male or female contestant.

Commentary

The Game Has Changed

In the early 2020s, the stock market looked much like basketball used to: a big man’s game. As examples, money management firms like Vanguard and Blackrock lumbered to higher heights of assets while the passive firms swallowed more market share.

Commentary

Buying Unwanted Assets

To kick off the beginning of 2023, there continues to be a bias we see in equity investor portfolios. These portfolios have many of the traits investors see at the endpoints of the economy like software, consumer products and computer chips.

Commentary

Cutting Your Way to Prosperity

What must happen to make these stocks attractive to investors like us?

Commentary

Tech is Bullish on Oil

The news of the shocking OPEC+ announcement of a supply cut is saturating the minds of investors and market prognosticators.

Commentary

Funding Unprofitable Growth

We have been reminding everyone that we believe we are unwinding a financial euphoria episode that Charlie Munger called the biggest of his career, “because of the totality of it.”

Commentary

The 2022-2023 Regime Change

The events that began with Thursday’s tumult in financial stocks and precipitated the FDIC takeover of Silicon Valley Bank and Signature Bank were swift.

Commentary

Musings from Buffett’s Letter

There were many good things to think about from Warren Buffett’s letter to shareholders which came out recently. In this piece, we’d like to drill down on two subjects that Buffett highlighted.

Commentary

Drilling for Oil on the NYSE

As a young stockbroker in the 1980s, I was very enamored with T. Boone Pickens.

Commentary

Ramblings From My Idol, Charlie Munger

On February 5, 2023, Charlie Munger sat down as the Chairman Emeritus of the Daily Journal Corporation (DJCO) to answer questions from shareholders and the public.

Commentary

A Sharpe Rebuke

We are closing in on what we think may be the question of the decade. If a majority of stock market capitalization in the US is passive or indexed, does this cause problems for stock markets?

Commentary

Recession Fear Investing

A recession is two consecutive quarters of economic contraction.

Commentary

4Q22 International Value Strategy

In 1817, David Ricardo developed his theory of comparative advantage to explain why countries engage in trade together, even when one country has an absolute advantage.