myinvestingnotes.blogspot.my (Bullbear Buffett Stock Investing Notes)

Keep INVESTING Simple and Safe (KISS) ****Investment Philosophy, Strategy and various Valuation Methods**** The same forces that bring risk into investing in the stock market also make possible the large gains many investors enjoy. It’s true that the fluctuations in the market make for losses as well as gains but if you have a proven strategy and stick with it over the long term you will be a winner!****Warren Buffett: Rule No. 1 - Never lose money. Rule No. 2 - Never forget Rule No. 1.

Have an obsession for cash flow conversion. What is the free cash flow of the company?

Manipulation of free cash flow. NOT all FCF should be valued the same.

CAPEX: Look for companies where the capex ratio is consistently below 30%

How quality companies generate free cash flow?

Cash flow strategies and profits

Free Cash Flow

Free Cash Flow For The Firm - FCFF

Intrinsic Value - A key to value investing

Quality companies turn most of their profits into free cash flow on a regular basis.

Checking the Safety of Dividend Payments using Free Cash Flow Dividend Cover

How to calculate the Free Cash Flow to Firm and Free Cash Flow to Shareholders

Comparing average capex spending with depreciation and amortization.

Is negative free cash flow always bad?

Don't use the PE ratio

The Free-Cash-Flow to-Equity (FCFE) Model

Free Cash Flow

Focus on cash flow

Tell tale signs of good cash generation: Dividends, Share Buybacks and Accumulation of Cash on the Balance Sheet

Super-profitable companies with too much cash pile up on the balance sheet. Be proactive.

Financial Efficiency - Is the stockholders' money (capital) working in forms most suitable to their interest.