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Learning that drives better investment decisions

Excellent Profitable Growth at Thailand’s Largest Mobile Operator

By Become a Better Investor | Sep 5, 2018

Advanced Info Service Public Company Limited is the leading mobile operator in Thailand with 48% of revenue market share. Profitable Growth has been excellent over the years consistently ranked in the top 20% among 130 large Telecom companies worldwide.

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VMC: 9 Steps to Prepping for the CFA Exams

By Andrew Stotz | Sep 4, 2018
#ValuationMasterClass

Many financially savvy people across the world are psyching themselves up to register for the most significant exams of their career. The post-nominal designation of CFA requires candidates to overcome many a hard mile, but the challenge is worth the toil.

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Higher COGS in China Compared to the Rest of the World

By Andrew Stotz | Sep 3, 2018
China’s gross profit margin has been 4 ppts below the global average | #ChartOfTheDay

Chart of the Day: We have combined the financial statements of China-listed non-financial companies into one for the past 23 years. Even though China’s gross profit margin is lower, the net profit margin is about the same as the global average. Implying that China has higher COGS but lower SG&A and other costs than firms globally.

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Timing It Just Right

By Become a Better Investor | Aug 31, 2018
Top 5 of the Week of August 27 - Become a #betterinvestor

In our Top 5 this week, we discuss timing from valuation warnings, examine systematic rebalancing, and see how there’s still life in the theory of loss aversion. All this and more…

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Asset Turnover Has Fallen Across the Globe

By Andrew Stotz | Aug 30, 2018

Chart of the Day: We have combined the financial statements of globally-listed non-financial companies into one for the past 23 years. The asset turnover ratio has averaged 78% and has fallen from a high of 92% to a low of 64% in 2016.

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Global Companies Make a 5% Net Profit Margin

By Andrew Stotz | Aug 29, 2018
Global companies has made a 5% net profit margin on average | #ChartOfTheDay

Chart of the Day: We have combined the financial statements of globally-listed non-financial companies into one for the past 23 years. The average number of companies included in this study was 12,586 per year and as of 2017, it was 17,159. Global net profit margin has averaged 5.1%.

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VMC: Mistake #7: Valuing a Stock Using the Calculated Beta

By Andrew Stotz | Aug 28, 2018
#ValuationMasterClass

Let’s move onto one of the most interesting subjects in valuation: beta. Discussing this crucial element of investing will helps us shed more light on the connected #7 top valuation mistake of valuing a stock using the calculated beta.

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Global Gross Profit Margin Is on Average 28%

By Andrew Stotz | Aug 27, 2018

Chart of the Day: We have combined the financial statements of globally-listed non-financial companies into one for the past 23 years. The average number of companies included in this study was 12,586 per year and as of 2017, it was 17,159. The gross profit margin has averaged 28.4% over the 23 years.

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The Ruling Top 5 Stocks

By Become a Better Investor | Aug 24, 2018

In our Top 5 this week, we check out an updated S&P 500 returns chart, discuss false investing promises, and examine the impact of the top 5 stocks on the market. All this and more…

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VMC: Fundamental vs. Technical Analysis for Investing

By Andrew Stotz | Aug 23, 2018
#ValuationMasterClass

Investors use a number of techniques to evaluate stocks before making a trade or long-term investment decision. The two core techniques used can broadly be divided into fundamental analysis and technical analysis.

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