• Our Philosophy
• Our Process
• Our Inspiration
• Good-Will Giants

Our Process

Steps in our investment process:

1. Business Search – Search all financial newspapers, magazines, periodicals, research reports, annual reports and other corporate filings, lists of stocks hitting annual lows, etc., in an effort to find attractive businesses with one or more defendable competitive advantages.
2. Business Analysis – Perform fundamental research on individual businesses in an effort to identify companies that possess a solid balance sheet, attractive returns on invested capital, excess free cash flow, and a strong competitive position within its industry.
3. Valuation Analysis – Compare each company’s current market value to its 1) replacement value, 2) current earnings power value and 3) intrinsic value. Confirm or deny our calculation of intrinsic value by using other valuation methods, including private market values.
4. Portfolio Construction – Take sizable, long-term positions in great businesses when we can buy them at significant discounts to intrinsic value.
5. Portfolio Management – Hold positions until either 1) the market recognizes the true underlying economic value of the business, 2) the economics of the underlying business deteriorate or 3) a more attractive investment opportunity presents itself.