Value Investing Workshop in Bengaluru (20th Sep.): I wrapped up the Chennai session of my full-day Value Investing Workshop last Sunday, and Mumbai is now sold out.
Which leaves Bengaluru as the one city where the last few seats are still available.
Click here for details and registration.
Now, on to today’s letter.
You buy a business you “like”. It fits the classic description of a “wonderful business.” It earns a return on capital comfortably above its cost of capital, has a clean balance sheet, and the management has a good track record of capital allocation and treating shareholders well.
Now, because we live in a world where everyone and their grandmother also has this same information about the business, you don’t get it cheap and so you pay up to get in.
[Read more…] about How to Lose Money on a Wonderful Business