Chapter 11: Roller Coaster Investing - Cyclical & Commodity firms

Description: Support session to accompany chapter 11 of the updated version of the Little Book of Valuation, published in March 2024.
Publisher: John Wiley
Amazon link: www.amazon.com...
My webpage for the book: pages.stern.ny...
In this session, I look at commodity and cyclical companies, and how the volatility in operating metrics created by macro variables and commodity prices can cause valuations to fluctuate, and how best to counter this volatility. I use Toyota from 2009 and Royal Dutch from 2023 to illustrate this process.
Toyota valuation (from 2009): pages.stern.ny...
Shell valuation (from 2023)
pages.stern.ny...

[@sheanathan3566]

It is so helpful to read a chapter and then listen to your commentary. You add much more clarity to the subject this way.
This was my favorite section - partly because it was so simple to follow.
I am curious why there has not been implementation of any MOS (margin of safety) when doing final evaluations.
Thanks!

[@Nononsense948]

Thanks for generous sharing! I will buy your book.

[@samuelgu2893]

Thank you for your content

[@arbitrage-technologies487]

excellent