A management change can trigger a “kitchen sink” quarter—when every loss is booked at once. Investors must watch for real resets vs. excuses.
Quality stocks compound: high ROIC funds reinvestment; strong balance sheets avoid dilution; stable earnings lower risk and keep the flywheel turning.
Few accounting choices shape earnings optics as much as research and development. Under U.S. GAAP, nearly all R&D is expensed, keeping profits tied closely to cash burn. Under IFRS, companies can capitalize development once certain hurdles are met—an opening that gives management wide latitude.
Markowitz’s mean‑variance framework made risk look simple: tally your average return, punish every wiggle the same, and call it a day. But real portfolios don’t wiggle symmetrically.
The discounted‑cash‑flow model translates a company’s murky future into a single present‑day price tag by projecting free cash flows, discounting them for risk, and tacking on a terminal value for the years beyond.
Small‑cap stocks tempt with big upside but test nerves. Descartes Systems Group shows how a niche, network‑driven moat can outpace giants, yet a single trade shock or leadership misstep can crater returns. Deep, ongoing diligence is mandatory.
IFRS 16 split rent into depreciation & interest, inflating EBITDA while burying liabilities—clarity gained, simplicity lost for many still
In industries with heavy prepayments—like airlines, SaaS, newspapers, and gyms—that low EV/EBITDA might not be the bargain it seems.
Mega‑caps rule, but small & mid‑caps trade at steep discounts. The size premium is sleeping—ready to revive again when innovation realigns capital flows.
When Hermès International SA unveiled an 18 % jump in fourth‑quarter sales this February—easily outpacing rivals in a sagging luxury market—executive chairman Axel Dumas credited an “obsession with craft” honed over six generations of family stewardship. Investors rewarded the Birkin‑bag maker with fresh highs, cementing Hermès as
In the golden age of meme stocks, miracle drugs, and moon-bound rockets, it’s never been easier to imagine your portfolio blasting off like SpaceX. But for most investors, chasing the next big thing ends not in the stars—but in the dust. For us it is it the second
Early one April I sat down for lunch with a mutual‑fund salesman whose job description, unofficially, was to radiate certainty. Over espresso he glanced at the weak sunshine and declared, “I am sure, winter is done—mark my words. Spring is here now.” Two days later the temperature plunged,
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