Half Year Portfolio Update
Since I'm Canadian, I can't have my portfolio on Commonstock :(

Portfolio Holdings and Weighting:

$8909.T
$ATZ.TO
$DRM.TO
$BHC.TO
$TOI.V

I track the KPI's for all my companies and then combine them using weighted averages and medians (for Leverage Ratio and Interest Coverage). I got the idea for this from reading Terry Smith's book "Investing For Growth." I have added FCF Margin on top of his original numbers.

Here is are my KPI's

Portfolio Additions In 2022:

Tencent Holdings Ltd., Topicus, Evolution AB

Portfolio Divestitures in 2022:

None.

I only track price once per year on my year end report. I do this to keep my mind on the long-term. I've checked my portfolio performance 3 times this year, which might be too much tbh. I did 22.80% and 22.69% in 2020 and 2021. I expect this year to be much, much worse.

I have a more detailed description of my portfolio report on my Substack
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The Power Of Quality Businesses
This is a great description of the power of quality.

Source: Saber Capital

What this figure shows is:

  • You can buy a business at more expensive prices and earn higher returns.
  • Great companies earn high returns on retained earnings.
  • If companies can reinvest earnings at high rates, their best allocation decision will be to keep pumping it back into the company and avoid dividends.
  • Even if the company gets a lower exit multiple, the earnings power gives you your margin of safety.

When I posted this on Twitter, a few people mentioned that quality companies don't trade for cheap. Here are some names in my portfolio that say otherwise:

$INMD 37.88% ROIC. PE 15.
$QFIN 51.54% ROIC. PE 2.6

I don't mess with companies that have one off high ROIC numbers which drastically regress to the mean. While I admit the numbers above will slightly subside over time, they are taken during pretty poor economic conditions. If you hunt for quality that is well priced, you will find stocks that other investors are afraid to own.
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I remember reading this one actually, was a great piece.

I feel like the debate between paying up for quality vs buying potential value traps will always be ongoing. The risks come when investors pay up for what they believe is quality (when its not) and grabbing a cheap stock which they think is a bargain (but its a value trap). Money can be made paying up for genuine quality, as well as buying great companies down that suffer temporal mispricings to the downside.
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Alberto Wallis's avatar
$23.4m follower assets
Upcoming Earnings Calendar (March 7th - 11th)
Hey guys! Here's the upcoming earnings calendar! I'm interested in:

  • $ZIM - Comments on their outlook for shipping prices.
  • $CRWD - Another stellar earnings report and I'll probably start a position in this company.
  • $MQ - How fast are their non-$SQ revenues growing?

Which earnings report are you looking forward to?

If you'd like an easier way to track earnings dates, you can automatically sync your portfolio's earning dates to your personal calendar with just a couple of clicks here.
MON:



TUE:



WED:



THU:



FRI:

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Alberto Wallis's avatar
$23.4m follower assets
Upcoming Earnings Calendar! (Nov 15th-19th)
Earnings season is slowly coming to a close, but there are still several highly interesting events coming up. Here's next week's earnings calendar and what I'll for looking forward to.

  • $SE: insights on their global e-commerce expansion.
  • $NVDA: comments on their product availability and supply.
  • $WMT: Update on their Walmart+ membership and comments on inflation/labor shortage/supply chain issues.
  • $DLO although this stock is too richly valued for me, I like their business and I'm following it in case there's a good buying opportunity post-earnings.

Comment below which earnings report you are looking forward to the most!

Friendly reminder: you can automatically sync your portfolio's earning dates to your personal calendar with just a couple of clicks here.

Monday
Tuesday
Wednesday
Thursday
Friday
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