Does a Stock’s Return Really Determine a Company’s ROE? Metrics Used to Determine Value

Factors to Consider When Deciding to Sell or Hold

We’re looking for businesses whose shares are trading at a 40% or more discount from our assessment of their private market value. To avoid value traps, we focus on companies that have forward expected movement in that intrinsic value per share from positive growth dynamics. Finally, we’re looking to invest in management teams that treat shareholders as partners. As long as each of those elements remains in place, our preferred holding period is forever.