When visiting Shrewd'm with a laptop, it can be pleasant to hold Command (or Ctrl with Windows) and '+' a few times. The site scales to allow any font size, and the larger font can be pleasant to read even for Shrewds with perfect sight! For luxury Shrewdness, you can combine that with setting the browser to full screen. You'll then find yourself Shrewding a lot.
- Manlobbi
Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
No. of Recommendations: 6
for purposes of discussion, i present that warren's omission on Canada was\is significant.
possibly bigger than his past call on japan via trading houses.
since the trump election and his subsequent spat with canada, i present as examples 3 stocks :
brookfield, enbridge, fairfax
all liquid largecap.
all deeply within circle-of-competence.
all relatively low risk in a place that may now be superior to america for rule-of-law.
all household names for any canadian with retirement savings.
(add canadian banks if you want a bigger list)
yes of course, berkshire may have also added another oil&gas name that went nowhere.
but i think the recent drop in constellation software may make it the most interesting still.
No. of Recommendations: 3
Check out a 25 year graph for Alliance Couche Tard (ATD.TO), or 15 years for Dollarama (DOL.TO)
Both have beaten the average S&P 500 firm handily.
Jim
No. of Recommendations: 6
Fitting this thread´s title: The currently most downloaded app in Denmark tells the user in a supermarket whether a product is American.
(I doubt with the intention to buy it if it is :)
No. of Recommendations: 9
Check out a 25 year graph for Alliance Couche Tard (ATD.TO), or 15 years for Dollarama (DOL.TO)
Both have beaten the average S&P 500 firm handily.
I realized it's a bit hard to pull of those graphs, so FWIW, 16-and-a-bit years since Jan 1 2010:
SPY CAGR 13.9%
GOOG CAGR 21.0%
DOL.TO CAGR 28.4%
ATD.TO CAGR 22.4%
As far a I know, that's not from multiple expansion--historically they weren't cheap. ATD is trading around 22 times earnings. I own it. Dollarama is more like 40. It never seems to sell off, the Costco effect, so I wait like Godot for a price drop.
Jim
No. of Recommendations: 2
ATD is trading around 22 times earnings. I own it. Dollarama is more like 40. It never seems to sell off, the Costco effect, so I wait like Godot for a price drop.
You and me both. And in both cases, the multiple seems to just keep getting worse, at the same time that they seem to be getting close to the end of their growth into their addressable market. If the multiple ever drops, it is likely to be because growth is ending, and I wouldn’t want them anyway. Seems like it’s just too late now.
No. of Recommendations: 8
You and me both. And in both cases, the multiple seems to just keep getting worse, at the same time that they seem to be getting close to the end of their growth into their addressable market. If the multiple ever drops, it is likely to be because growth is ending, and I wouldn’t want them anyway. Seems like it’s just too late now.
Your logic is impeccable. But I have to observe that it's the same logic I used when not buying them a decade ago, so who knows? : (
Jim
No. of Recommendations: 1
As far a I know, that's not from multiple expansion--historically they weren't cheap.
The PE multiple for Dollarama has expanded a fair bit, it was often in the 25-30 range, but had recently had a run up to 40x. So its rarely (never) been "cheap", but its very stretched currently.
tecmo
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No. of Recommendations: 3
The PE multiple for Dollarama has expanded a fair bit, it was often in the 25-30 range, but had recently had a run up to 40x. So its rarely (never) been "cheap", but its very stretched currently.
As mentioned, it's always expensive, and I haven't bought because of that, but the level certainly does vary.
It's worth noting that an expansion from 25x to 40x isn't actually that large a fraction of the 16 year annualized return. If I did the math right, I think that's only 3.7%/year of the 28.4%/year market total return.
Jim
No. of Recommendations: 5
It's worth noting that an expansion from 25x to 40x isn't actually that large a fraction of the 16 year annualized return. If I did the math right, I think that's only 3.7%/year of the 28.4%/year market total return.
A good reminder that revenue/earnings growth is always the most important item when evaluating an investment opportunity. Sometimes we all get caught up in valuation details...
tecmo
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