Hi, Shrewd!        Login  
Shrewd'm.com 
A merry & shrewd investing community
 Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A
Shrewd'm.com Merry shrewd investors
Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
Unthreaded | Threaded | Whole Thread (3) |
Post New
Author: rnam ✧  😊 😞
Number: of 15071 
Subject: OT Business Cannibals
Date: 10/12/2024 6:50 AM
Post Reply | Report Post | Recommend It!
No. of Recommendations: 2
I received this email from Eagle Point Capital. They talk about high quality companies which cannibalize themselves through disciplined stock purchases. They following screen which they ran on TIKR database of 67,500 companies, yielded only 21 companies.

Revenue growth of 3% or more for the past 10 years;
Return on equity of 15% or higher;
Diluted shares outstanding decreasing by 5% or more per year since 2015;
Valuation of 20x earnings or less;
Market cap of $500M or higher.

The full article which identifies the 21 companies is only available to paid subscribers, which I am not.

Can someone run this filter on a database they have access toand produce a list?

Thanks.
Print the post


Author: Rebus   😊 😞
Number: of 15071 
Subject: Re: OT Business Cannibals
Date: 10/12/2024 9:32 AM
Post Reply | Report Post | Recommend It!
No. of Recommendations: 2
If Eagle Point has the magic chalice filled with the names of those 21 companies, why would they sell them to anyone, paid subscriber or not? Why not just invest in the companies and update the list next year?
Print the post


Author: mungofitch ✹🐝🐝🐝🐝 SILVER
SHREWD   😊 😞
Number: of 15071 
Subject: Re: OT Business Cannibals
Date: 10/12/2024 11:24 AM
Post Reply | Report Post | Recommend It!
No. of Recommendations: 6
Can someone run this filter on a database they have access to and produce a list?

My database doesn't make it easy to see the share count shrinkage rage, and I don't feel like writing a little program for that...

But FWIW I get 208 firms meeting the other criteria, or 182 if you require a US domicile.
That excludes those with positive earnings but negative book value, which in a business sense equates to an infinitely high ROE rather than an arithmetically negative one. Good investments, on average.

Jim

Print the post


Post New
Unthreaded | Threaded | Whole Thread (3) |


Announcements
Berkshire Hathaway FAQ
Contact Shrewd'm
Contact the developer of these message boards.

Ticker or Board Name Author

Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Followed Shrewds