Rule One Investing Blog

Since selling my Lowes stock I’ve been searching for another great company to buy. However, since I’ve completed my first two trades I thought a little reflection is necessary. First off, don’t get me wrong I’d love to own Lowes (LOW) forever. However, the big guys are weary about this industry right now. This is [...]

I’ve been watching the technical indicators carefully since analyzing and buying Lowes (LOW) stock. It’s not that I’m super worried about my calculations as my sticker price is in the range of $32-42. The stock is no where near these values, however, the market is so volatile right now that it could drop quickly and [...]

I woke up this morning to read this article here at Market Intelligence. This article states that Lowes stock is under pressure because of being downgraded from a “Buy” to a “hold.” But what does this really tell us about the company? Has the company released a earnings report? Are they laying off a ton [...]

I’ve been looking at some of the stocks in my watch list. One of these is Cold Water Creek (CWTR). Coldwater Creek is a specialty retailer of Women’s clothes and apparel. With two main segments retail and direct. Let’s take a look at the growth rates numbers. The ROIC is 7% last year, which violates [...]

I was looking over my MOS numbers that I calculated and realized that I may have over-estimated my sticker price. Looking back at my post about Rule One Analysis of Lowes the numbers used to calculated the MOS were as follows Equity = 14% (near typical growth rate) EPS = $1.98 Future PE = 22 [...]

When I first read the book Rule #1 by Phil Town I was very enthusiastic to start finding rule #1 stocks and start making my million. However, after following the three circle exercise I was not pleased to find any stocks that were under the margin of safety (MOS) and were true rule #1 companies. [...]

After reading the first chapter of the Intelligent Investor by Benjamin Graham I realized that maybe I should blog about each chapter. Although, this might be a bit excessive in later chapters I figured it was important for the first chapter. The first chapter deals with speculative investing compared to intelligent investing. Graham states that [...]