Archives: 2006 November
More on Valuation of banks
November 26th, 2006, 2 Comments
Got the following comments on my previous post from prem sagar. Thought they were very valid points and hence I am posting my reponse to it seperately in a post. Hi Rohit, nice analysis. But I get some thoughts here. 1. What if the bank had been increasing leverage to increase or maintain higher ROE? [...]
Valuation of Banks – some thoughts
November 22nd, 2006, 2 Comments
I have been reading the book – The warren buffett way (previous post here). There are several instances of valuations in the book on various companies such as Cap cities/ABC, American express etc. One point which caught my attention was the comparison of a company to a Long term bond investment. Buffett has mentioned several [...]
Value Traps
November 16th, 2006, 7 Comments
I think every value investor dreads a value trap which is basically a company, which seems cheap by historical standards and the gap between the price and the supposed intrinsic value does not close. I found the following very useful comment from bill miller (he is a very famous money manager in the US whose [...]
Further thoughts on pricing strength of a business
November 13th, 2006, 3 Comments
The following question was posed to me by Prem sagar on my previous post. The question made me think and I am posting my thoughts on what I think is a fairly important issue in investing (earlier post on pricing ) But what would u say for an industry like say auto ancillaries or retail-proxies [...]
Learnings from the Book: The warren buffett way
November 9th, 2006, 2 Comments
I have been reading again the excellent Book ‘The warren buffett way’. This book was my first exposure to Warren buffett and his approach to Investing. I have followed and learnt from him since then. The following were the key re-learnings I have had over the past few days (I am yet to finish the [...]
Blue star india – A quick look
November 2nd, 2006, No Comments
Blue star india is primarily in the commercial air conditioning and refrigeration business. The three main business segments are 1.Central air conditioning: This is the main business for blue star. It accounts for 70 %+ of the company’s revenue, has been growing at 25 % and has a pre-tax ROCE of almost 60 %. Blue [...]
