On Becoming Warren Buffett and Some Fat-Pitch Picks

As explained by the legend himself in the recent HBO documentary “Becoming Warren Buffett”, the Oracle of Omaha stays within what he calls his “Circle of Competence” when investing. This according to a recent Forbes article by Validea CEO John Reese. This includes, writes Reese, “knowing what you know, and steering clear of what you don’t.” He quotes a comment Buffett offers in the film: “Having an edge is enormously important. With that, however, comes… Read More

Warren Buffett on “Free Money ” Plus Four Picks

In one of his many interviews, Warren Buffett explained how the insurance industry offers the opportunity to “invest in other people’s money and keep all the earnings on those investments,” writes Validea CEO John Reese in TheStreet. The article discusses the evolution of Buffett’s penchant for the insurance business as well as the industry outlook. Using his guru-based stock screening models, Reese identifies four high-scoring, small-cap financial picks: INTL FCStone (INTL), a financial services company… Read More

Greenblatt’s Magic Formula-Worthy Picks

Most investors lack patience and don’t understand underperformance, which motivates them to abandon funds when performance dips—precisely the time they shouldn’t, says Joel Greenblatt, co-founder of Gotham Asset Management. In a recent Forbes article, Validea CEO John Reese explains the fundamentals of Greenblatt’s “Magic Formula,” which uses return-on-capital and earnings yield to identify good companies selling for bargain prices. Reese identified the top ten Magic Formula picks and, including the following four that also earn… Read More

Holiday Season Stock Picks

Amid the continued swirl of political rhetoric and speculation about the likelihood and timing of a shoe dropping in the stock market, holiday sales prospects still look good. In an editor’s pick article for Friday’s TheStreet, Validea CEO John Reese discusses this season’s outlook and offers the following five stock picks that could make the ‘nice’ list: Apple (AAPL), maker of the Apple Watch, iPad, iPhone and Mac, among other technology products, earns high marks based… Read More

Buffett’s Affinity for Insurance Stocks

Warren Buffett’s first investment foray into the insurance industry occurred with his purchase of National Indemnity Company in 1967, and his relationship with the sector has grown in spades over the years. In a recent article for Forbes, Validea CEO John Reese offers a brief history of the Oracle of Omaha’s trajectory and perspective on the insurance business and provides the following stocks that pass his guru-inspired screening models: Verisk Analytics (VRSK) is a data… Read More

Buffett Revisited

The Oracle of Omaha is an investment legend whose tireless work ethic and down-to-earth philosophy has helped him grow Berkshire Hathaway into one of the largest companies in the world. In a recent article for Nasdaq, Validea CEO John Reese digs into Buffett’s stock selection method and offers five stocks picks that make the grade under his Buffett-inspired screening model (the first of which are currently in the Berkshire portfolio): Apple Inc. (AAPL),the tech industry… Read More