February 5, 2012

The Problem with Tootsie Roll Industries for the Value Investing Crowd

Tootsie Roll Stock Products

For more than 15 years, I have watched the Tootsie Roll company and waited for it to be "fairly" valued or undervalued relative to the stable profits that churn out year after year like the chewy candies for which the business is known.  It's the type of company that I would love to have a long-term investment in that sits on the balance sheet of my operating businesses and compounds over the decades.  In fact, I love the idea of being able to pass on to my grandchildren shares of the company … [Read more...]

Why Income Inequality Will Always Exist as Part of the Post-Industrial Revolution Global Economy

First: Before we begin, the education system in the United States over the past few decades has done such a poor job teaching basic logic that by virtue of the headline alone, it is statistically likely that you have already made a decision about whether or not this short essay on pay inequality is "good" or "bad".  You've done this without considering any of the factual data or evidence I'm going to offer by virtue of my own experiences in finance, based nothing more on your own political … [Read more...]