Even if we aren’t familiar with Nikola Tesla’s inventions and discoveries in the areas of electricity, many of us are familiar with the Tesla automobile. The car company borrowed its name from Nikola Tesla (1856 – 1943), an inventor, electrical engineer, mechanical engineer, physicist and futurist who is … Read more
Founded as Tesla Motors, Tesla Inc. was incorporated in July 2003 by Martin Eberhard and Marc Tarpenning who financed the company until the Series A round of funding. The founders were influenced to start the company after GM recalled all its EV1 electric cars in 2003 and then destroyed … Read more
I enjoyed reading about Benjamin Graham’s career. He shared his Wall Street experiences in the classroom and in his best-selling book, told readers lessons he learned in life.
Graham knew math and since his only tool was a slide rule, he had to keep things simple. Unlike today, he didn’t … Read more
Benjamin Graham’s 10 Rules for Stock Selection
1. An earnings-to-price yield at least twice the AAA bond rate (the reciprocal of the P/E ratio).
2. Price Earnings (P/E) ratio less than 40% of the highest P/E ratio the stock had over the past 5 years.
3. Dividend yield of at … Read more
Areas to review from Benjamin Graham’s Security Analysis book and others.
Investments have two valuations, one is the intrinsic value determined by various methods and a market value. These two value/prices are rarely the same. The market price continually goes above and below the intrinsic value range.
Investors can determine … Read more
Who is Mr. Market?
According to Benjamin Graham, Mr. Market is a fictional character who shows up every day at an investor’s office and offers to buy or sell shares at various prices. Often, Mr. Market’s quote sounds good but in reality, his quote is crazy. The investor has the … Read more
Benjamin Graham is known as an economist and professional investor who was first to promote the concept of “value investing.” Graham began promoting his investment ideas in 1928, when he began teaching at Columbia Business School. He refined his idea in Security Analysis (1934), a book he wrote with David … Read more