Ideas on Value Investing, Competition, and Economics
Tuesday, August 29, 2017
Sports & Stocks book by Bud Labitan
My new book Sports & Stocks relates winning sports and value investing ideas. It is primarily about shaping ones thinking towards investing in the stock of a winning business. I have been thinking about these similarities for years, and have finally gathered my thoughts and organized them on paper. I write this from my point of view as a sports fan. Mixing sports talk with investing talk can stimulate the readers’ thinking. Readers are entertained to think about their approach to finding a profitable value stock.
Making this book a fun read, I divided the chapters into these athletic chapters: 1.Football, 2.Basketball, 3.Baseball, 4.Coaching, 5.Mental Toughness, 6.Examples, 7.The Two Minute Drill. The tail end of this book has an End Note and a Resources section.
The book's goal is to help readers find HQB, a High Quality Bargain. I show readers how I find HQB using knowledge and skills applied using the ideas of Offense, Defense, and Special Situations.
Sports & Stocks is about my view of popular sports and how these ideas can relate to successful stock picking. This book differs from my other ones because this one contains new stock valuation examples (Baxter, Boeing, and Disney) and some motivational talk.
Chapter 7 gives you my “Two Minute Drill.” There, I show readers a quick way to identify a good business to add to your watch list.
Whether it is Football, Basketball, Baseball, Hockey, Track & Field, and many other sports, there is a goal to be won. And, to continue winning, there needs to be good coaching. Coaching (Chapter 4) can come from head coaches and assistant coaches as well as experienced mentors.
Coaching can also come from self-teaching and continuous self-learning. So, when I refer to coaching, I mention both the outer coach and the inner coach. The reader’s inner coach is trained to look at stock investing in terms of goal setting, fear managing, and dealing with wins and losses.
In sports, we often look to the best for learning the basics as well as the best practices. In value investing, I studied the best in Warren Buffett and Charlie Munger. So, if readers like this book, they may read my other books.
Running Cross Country and Track in High School gave me a bit more mental toughness and perseverance. I believe this helped me learn to pace myself, and exercise patience. But, I miss those youthful days when I could sprint quickly out of the blocks and run the high hurdles.
We all face hurdles in our lives. They key to running the hurdles well is to learn the technique well, and have the strength and passion to race. Like investing, it takes training, learning, and practice. So, this book talks a bit about training in both sports and stock picking.
Since our goal is to find HQB, a High Quality Bargain, I start readers with the most important idea: INTRINSIC VALUE of a single share of stock.
The Intrinsic Value per share of a business is talked about several times in this book. My examples chapter, (Chapter 6), shows readers how to estimate it in Boeing, Baxter, and Disney.
Sports & Stocks is available here: https://www.amazon.com/Sports-Stocks-Bud-Labitan/dp/1387147080