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Showing posts from November, 2022

12 equations by Kuntal shah for Investors

 Anything multiplied by 0 is 0. (relations, money, and health) Happiness = Achievement+ Aspirations/ Regret. (reduce regrets) Disappointment = expectations / reality. (Face reality) Kinetic energy = ½ mv^2 (rate of change is escalating, therefore your direction and velocity into that direction matters for success) Opportunity cost >>> sunk cost Destruction far swifter than contractions. (Rome was not built in a day but Hiroshima and Nagasaki were destroyed in a day.) EBITDA is not equal to cash flows. Role of luck ( luck = joy^2/ efforts ) Despair = suffering – equanimity 4th law of motion( return decrease when motion increases) Future value = present value ( 1+R )^N ( R=rate , N= No of years ) Gratitude+ Right attitude = Permanently high altitude 

"What I follow"

"Strategy for Equity Most important things  Independent mindset Accounting  Business economics  Psychology Financial market history Three baskets  1. Special situations. 2. Growth at reasonable valuations (Unable to pay more than 30-40 PE). 3. Cyclical stocks (Short period, 1-2 Years) – the balance sheet is good, but earnings are bad.  Screening criteria OPM < OPM 5Year AND  (OPM= Operating profit margins) Market Capitalization > 500 AND Debt to equity < 1 AND Price to Earning < 40 AND Promoter holding > 50 AND Capacity expansion  Valuations  Think only one thing:-  Will you get more returns from this script than FD / AAA-rated bond yield? If the answer is YES go invest, stay patient enough and focus on increasing your capital. Information overload Problem Shut Twitter, TV, and Social media, Telegram, YouTube Tips Bottom-up approach but sector Tailwind  Macro factors – Patience for 3-5 years stay invested. Risk manag...