Common Stocks and Uncommon Profits and Other Writings: 40 (Wiley Investment Classics)

Product Information

This is where the moat framework we've spoken about throughout the Investing Classroom series can be a big help. His most famous investment was his purchase of Motorola, a company he bought in 1955 when it was a radio manufacturer, and held it until his death.

Philip A. Fisher Collected Works, Foreword by Ken Fisher

B vice-chairman Charlie Munger is fond of saying that if something is not worth doing, it is not worth doing well. Fisher argued that investors should take a long-range view, and thus should favor companies that take a long-range view on profits. He managed the company's affairs until his retirement in 1999 at the age of 91, and is reported to have made his clients extraordinary investment gains. The 15 points are a qualitative guide to finding superbly managed companies with excellent growth prospects.He was a very private person, giving few interviews, and was very selective about the clients he took on. Anderson is CPA, doctor of accounting, and an accounting and finance professor who has been working in the accounting and finance industries for more than 20 years. In addition, a company that makes above-average profits, even while paying above-average wages to its employees is likely to have good labor relations.

Philip Arthur Fisher - Wikipedia

Does management talk freely to investors about its affairs when things are going well but "clam up" when troubles and disappointments occur? A company cannot deliver outstanding results over the long term if it is unable to closely track costs in each step of its operations.Published during a time of great prosperity and a post-World War II bull market, the book embraces the prospect of continued long-term growth. Fisher wrote that in a competitive environment, few products or services are so compelling that they will sell to their maximum potential without expert merchandising. Her expertise covers a wide range of accounting, corporate finance, taxes, lending, and personal finance areas. Fisher warned investors to avoid companies where top management is reluctant to delegate significant authority to lower-level managers. Just as having good employee relations is important, a company must also cultivate the right atmosphere in its executive suite.

The 15 Point Checklist For Identifying Worthwhile Investments

Salaries should also be reviewed regularly so that merited pay increases are given without having to be demanded. In addition, companies focused on meeting Wall Street's quarterly earnings estimates may forgo beneficial long-term actions if they cause a short-term hit to earnings. He further described how using Fisher's "scuttlebutt" technique continues to be a good way to investing, which is still used by Ted Weschler and Todd Combs at Berkshire Hathaway. Similarly, a company can show tremendous growth, but the growth must bring worthwhile profits to reward investors.Fisher stated that getting a precise handle on a company's cost analysis is difficult, but an investor can discern which companies are exceptionally deficient--these are the companies to avoid. First, companies with good labor relations usually make every effort to settle employee grievances quickly. There is no single yardstick to measure the state of a company's labor relations, but there are a few items investors should investigate.