1) Most important evolution for me as an investor was shifting my focus from “What is this company worth today?” to “How fast can this company compound its value over time?”
2) Leads to a focus on ROIC, reinvestment opportunities, vector of competitive advantage and risks to all of these factors.
3) Valuation comes at the end of the investment process for me.
I would respectfully modify Buffett’s quote to “the price you pay determines the return you get for a given business outcome.”
You can follow @GavinSBaker.
Tip: mention @threader_app on a Twitter thread with the keyword “compile” to get a link to it.
Enjoy Threader? Sign up.
Since you’re here...
... we’re asking visitors like you to make a contribution to support this independent project. In these uncertain times, access to information is vital. Threader gets 1,000,000+ visits a month and our iOS Twitter client was featured as an App of the Day by Apple. Your financial support will help two developers to keep working on this app. Everyone’s contribution, big or small, is so valuable. Support Threader by becoming premium or by donating on PayPal. Thank you.