IN THIS EPISODE, INVESTMENT TOPICS COVERED INCLUDES:

• The evaluation of economic gains
• Return on Equity and Return on Capital
• A useful proxy to Intrinsic Business Value
• Business growth trends and time periods analyzed
• When managers should buy back shares
• The 3 qualities a company needs to make a buyback a good decision
• Example of effects when management buys below intrinsic value, and when the buy above intrinsic value
• The issues with management trying to buy growth through acquisitions
• Reasoning to pay more for a business that is lodged in the hands of a manager with demonstrated pro-shareholder leanings  
• CEO incentives and their effect on Capital Allocation

EPISODE RESOURCES:

• Read the letter: Link to Buffett's 1984 Letter to Shareholders
• Read the article that inspired this podcast: Buffett's 1984 Letter (Part 1)

OTHER RESOURCES FROM VALUE THOUGHT INVESTING:

• Download the FREE Value Thought Stock Analysis Tool
  
  
• Visit he Value Thought Website
  
  
• Subscribe for the Value Thought Investment Newsletter 
  
  
• Read the Value Thought Investment Blog
  
  
• Visit the Value Thought YouTube Channel
  
  
• Join the Value Thought community at the Value Thought Facebook Group
  
  

SUBSCRIBE

• Subscribe to the Value Thought Investment Podcast

HAVE A QUESTION?

• Send me an email at [email protected]
• Or visit the contact page at Value Thought: https://valuethoughtinvesting.com/contact/ 

DISCLAIMER

• Please make sure to complete the following: 
  Do your own research when investing, and then do some more.  The content provided here is intended to be used and must be used for entertainment and educational purposes only.  It is very important to do your own analysis before making any investment based on your own mental models and personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you gather from Value Thought Investing and wish to rely upon, whether for the purpose of making an investment decision or otherwise.  

Thank you for listening, and remember to stay fundamentally thoughtful.