Value investing is about investing in quality stocks that are trading substantially below their potential. The idea is to identify quality businesses when they provide sufficient margin of safety and invest in them for the long term.
Within value investing there are two broad strategies which are used by famous value investors like Benjamin Graham, Warren Buffett and Charlie Munger for wealth creation. My goal is to cover these strategies and deliver a comprehensive investing framework that you may use to identify value stocks. If you are someone who would like to understand the key concepts in value investing and achieve financial freedom then this course is perfect for you.
You don’t need to worry if you don’t know anything about accounting or financial statements. Because in this course I am going to start by teaching you financial statement analysis, so that you get the basic understanding around financial statements. In fact the first three sections cover:
1. Understanding Financial Statements (including Balance sheet, Income Statement & Cash Flow Statement)
2. Common Size Analysis of Financial Statements
3. Financial Ratio Analysis (including activity ratios, liquidity ratios, solvency ratios and valuation ratios)
The next three sections are completely dedicated to value investing where we look at:
1. Benjamin Graham’s investing strategy
2. Moat based Value Investing
3. A complete investment framework to evaluate stocks
Not only this we also cover related topics like:
1. How to figure out if a company will be able to sustain its growth or not?
2. Concept of Margin of Safety
3. Additional criterion for the investment framework to evaluate management of any company
4. Additional criterion related to accounting red flags for detecting possible accounting frauds.
At the end of this course you will have a complete investment framework to evaluate any business for long term investing. You will also develop an understanding of when to exit your investment.