Webinar - How Much Should We Pay For an Excellent Business?
Consistent and steady compounding over temporarily elevated growth rates
Time for a new webinar which (among other items) will feature the bar graph Terry Smith has long been famous for: how much (P/E ratio) could you have paid for an excellent business and still equal the market index return? Does it make sense to do this exercise and what could one usefully deduce from it?
As we pointed out in the previous webinar, determination and a clear focus on holding onto a select group of multi-decade or even multi-century winning businesses is what our strategy is all about. Riding your winners, reading through all annual reports, management and sector reviews… To make that strategy work, we need consistent NOPAT per share growth to sometimes willingly pay up for excellent companies. Compounding starts with protecting the principal and maintaining a steady growth path, regardless of the state of the economy.
Webinar and material
You can watch the webinar through the below inserted video. The presentation material can be downloaded via PDF.