24 Comments
Dec 27, 2023Liked by Compounding Quality

I see Adobe as one of the companies that's going to be annihilated by AI. Graphical design is going to be commoditized by AI companies such as midjourney. If everything can be done with a prompt, 100s of hours of experience is not going to be necessary anymore. High switching costs? No more.

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Apr 1Liked by Compounding Quality

Hi, i found you for the first time on the podcast Millennial Investing and was a very good surprise the way how you laid out all of your knowledge, congratulations was ine of the best episodes. Regarding this steps that you mentioned about Adobe, and relating all information you provide in the podcast Adobe has only 0.68% of closely held shares, as far I understood this is one of the thing that would put you off from this company, right? Inside ownership it's an important factor to consider and in this case doesn't verify, can you please elaborate a bit if this fact would be a decisive factor or not. Thank you in advance and keep doing an amazing work. Nicolau

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Aug 22, 2023Liked by Compounding Quality

Hello,

Great Article. But just a question. Sometimes you make lists with quality stock that don't have 50% of gross margin. Does it mean that gross margin is one ratio to take a look at, but not the most important?

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Oct 3, 2022Liked by Compounding Quality

Another wonderful article :-)

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Easy enough for me. Thanks.

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👍

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Nice and quick pointers. But did you just say 'Surf to the tab'.

Surf?!

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In step 6, comparing current free cash flow yield vs 5 year average is just a quick way of checking correct? In your deeper dive you would do a dcf based on future growth prospects with not sky high assumptions and they pay fair price for a great business?

Love the article, thank you !!

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Your steps are good but step 4 I don't think the share price performance matters. To me the business performance should matter and then the share price will follow but I love stocks that have been doing amazing business and will continue to do so while the share price does nothing

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$ADBE good company but it have a capital allocation that is “no bueno” to the shareholders. No no to me

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