Outperforming Growth: 5 Top Picks

Netflix is super cheap compared to cable bundle. It has a lot of room to hike its price. International is growing like a weed still.

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I have been reading all of buffett’s letters. He uses discounted cash flow to measure intrinsic value. But he didn’t elaborate what rate he used for discounting, how many years ahead he looks out and how to account for terminal value etc. Basically he didn’t reveal any of his secret sauce.

The textbook way of discounting uses WACC, which takes into account a firm’s beta and cost of debt. Given how much WB despise beta I doubt he uses that.

He also said numerous times in acquisitions he has no trouble giving out berskshire stocks provided that he got back equal amount of intrinsic value in return. So it doesn’t seem he insists on paying less than intrinsic value. Just about equal is good enough.

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Martin Shkreli is too smart, esp analysis. Just read about his life growth…but now…???

Shkreli is evil genius. He is misubderstood. He had good intention when he returned money to investirs, but lied to them when he revealed it was from another venture of his.

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