100% of the team’s research effort is focused on determining a company’s normal earnings level and defining a fair value for its stock.

Idea Generation
  • Industries at cyclical troughs
  • Fundamental screens to discover under-earning companies
  • Proprietary database of companies that have been owned or extensively researched
Fundamental Research
  • Identify specific drivers of the fundamental turnaround
  • Assess competitive stability and capital adequacy
  • Build financial model to determine price target
Buy Discipline
  • Idea meets the Four Cs criteria
  • Appreciation potential > Portfolio average (typically 50-70%)
  • Initial portfolio weight is typically between 4-6%