Q4 Earnings Season - Our Tortoises Keep Delivering
"Watching paint dry" - why we love boring excellence
Hi fellow Tortoise!
Welcome to another bi-weekly webinar! In this episode, we’ll highlight:
The recent earnings reports - the common denominator remains that our companies keep delivering steady growth, focusing on prudent capital allocation through the good times and the bad. Overall, our strategy is based on “watching paint dry”, barring the usual volatility in investor expectations reflected in some dramatic changes in the valuation multiples…
On the latter, we’ve enjoyed some outsized returns as of late, to the extent that some of our high-quality companies (whose fundamentals haven’t changed much) have become rather un-investable. We hate to call it that way, but prudence on valuations and analysts heading into the same bullish direction is warranted. At least, that’s our view, because, in the end, how do we know what’s gonna happen next?
Tariffs, increased volatility - do they increase our portfolio risks? As we’ve stated previously, we’re likely headed toward reflation after a period of disinflation, and our portfolio is very well-prepared for that.
The presentation can be watched below, including the slides and the transcript.