Why Smart Brains Make Dumb Decisions, Learning, 5 Reasons To Doubt My Analysis, Munger On Deferred Tax Liabilities And Intrinsic Value

I have found another company to look into and I am going to start reading its annual report today.  I will update you if I think the company is worth doing an entire article on.  Now onto the links.

Why Smart Brains Make Dumb Decisions is an article from the New York Times detailing what makes our brains over and underestimate the amount of danger involved in a task.

When It Comes To Learning Depth Beats Breadth and What’s The Best Way To Begin To Learn A New Skill are both quick thoughts from Farnam Street about learning.

5 Reasons To Doubt My Analysis is an article from Old School Value, written by Daniel Sparks of ValueFolio, about why we should all doubt other people’s analysis, and why we should all do our own analysis when it comes to making investment decisions.

Munger On Deferred Tax Liabilities and Intrinsic Value is a very technical discussion on those two topics and how to incorporate some of the information into valuations.  The site also has a couple links to Seeking Alpha articles on the subject as well.  I have to admit that some of the stuff goes over my head and the highly technical aspect of investment analysis is an area where I know I need to get a lot better at.

Up next will be some more links until I decide whether I am going to do an entire write up on the company I start researching tonight.

Walter Schloss, Valuing Berkshire, Leon Cooperman, Thoughts On Valuations, and Gaining an Edge

Some weekend reading links while I am searching for another company to evaluate.

Walter Schloss’ 16 Golden Rules For Making Money In The Stock Market.  Link is from the Business Insider.

Tom Gayner’s Approach To Valuing Berkshire Hathaway.  This article is yet another from Greg Speicher’s blog and the rules that are laid out could be used to value other conglomerates.

Leon Cooperman: These are the Traits That Make The Best Analysts On Wall Street.  This article is from the Business Insider.  See how many of the traits 14 traits you have.

DoubleLine Capital Valuation Hint from the Brooklyn Investor’s blog.  This article, and the corresponding link at the top of the page to his previous discussion on DoubleLine, talks about things to look for when valuing financial companies.

How To Obtain An Edge When Investing, With Brad Hathaway of Far View Capital.  Link is from GreatInvestors.TV

Charlie Munger On Wordly Wisdom As It Relates To Business And Management

Over the next several days I will be posting links that I have been learning from over the last several weeks while I was researching and writing my Jack in the Box article that I think contain some insight.

I am also in the process of finishing up Moonwalking With Einstein and searching for another company to research and will update you when I find another company to look into.

This first article from Y Combinator is written by Charlie Munger and contains his thoughts on a wide assortment of things that he relates to his dealings in the business world: Psychology, valuation, how he and Buffett think about some of their investments, sports, math, specialization, and many other things.

I am going to post this article by itself because it is absolutely amazing and contains a myriad of insights and valuable knowledge in my opinion and it is pretty long.  I hope you enjoy.

Professional Analysis Versus My Amateur Analysis Of Jack in the Box

This first link from MarketFolly contains the presentation from the winner of the Value Investors Congress contest whose presentation and analysis was a bull case for Jack in the Box.

The above analysis is actually the one I voted for in the contest as I thought it was the best, and the analysis he did in his article is actually what led me to research JACK as a possible investment for myself as he laid out a very good bull case for the company.

This second link is my analysis which is a bear case for Jack in the Box.

We came to the same conclusions about future possibility which he counts on more than I like to.  I generally only count in my analysis what I can see now and do not base my valuations on speculation of what could happen in the future.

Please feel free to leave comments on the two articles: Where I might have gone wrong, what I could have done better, etc.  I would really appreciate your thoughts.

Howard Marks Interview, Laura Templeton, Intrinsic Value, Seth Klarman’s Investment Framework, Vitaliy Katsenelson, and the Value Investing Challenge

Now that I am done with the overview of my portfolio I can get back to the business of researching companies.  Up first though are some links that I think can help us all learn.

Free download of an interview with Howard Marks from Oaktree Capital.

Laura Templeton on How to Retain Conviction When The Market Goes Against You.  This is a three minute video with some very good insights for value investors.

Intrinsic Value: A Range, Not a Precise Figure is a great write up from Greg Speicher’s blog on the dangers of trying to pin down a companies exact valuation.

Seth Klarman’s Investment Framework is something every self respecting value investor should probably read.

Value Investing Challenge links to download the three finalists analysis and valuation articles.  The detail in the articles and how clearly two of them put forth their analysis is absolutely amazing and something I hope to learn from.  Possibly a few companies to do further research on as well.

Helmerich & Payne Analysis is a fantastic valuation and analysis article from Vitaliy Katsenelson at Contrarian Edge.  Again, pay attention to the amount of detail, how he thinks, and his process, absolutely amazing.

Now that I have finished up doing my portfolio overview I am going to dive right back into researching companies.  I will update you when I find something interesting, and I already have a few companies in mind to research.