Author Topic: Your best wide moat idea today  (Read 4739 times)

KCLarkin

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Re: Your best wide moat idea today
« Reply #10 on: March 11, 2020, 12:16:30 PM »
Now that the market has taken a hit I'm out hunting for high quality businesses with big moats because some are trading at fair prices for once. I was wondering if anyone has any suggestions of where to look? (other than at airlines which I have already picked through.)

Finally starting to see a few good companies get cheap (most of these are narrow moat -- wide moat businesses are still very expensive):
Gildan - death of events is going to kill their printwear business for a few years but this is trading at prices first seen in 2007.
QSR - not sure why this is selling off. People are still going to drink Tim Hortons! Lot's of debt though. And 3G is on a major losing streak.
ULTA
OTEX
BKNG - Cheap, but I think it will get much cheaper
MSM - distributor's FCF is countercyclical
DIS
GOOG - ad revenue is going to get slaughtered due to travel, etc. But large cash hoard...
TRIP - wide moat, bad business. But will not recover for a long time...

I am still raising cash, but starting to get in the buying mood.

Edit: done raising cash. Starting to look for bargains in the carnage.


« Last Edit: March 11, 2020, 12:36:36 PM by KCLarkin »


Jurgis

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Re: Your best wide moat idea today
« Reply #11 on: March 11, 2020, 12:32:16 PM »
V, FB, GOOG.

EXPE, BKNG for adventurous.

BRK for conservative.
"Human civilization? It might be a good idea." - Not Gandhi
"Before you can be rich, you must be poor." - Nef Anyo
"Money is an illusion" - Not Karl Marx
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KCLarkin

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Re: Your best wide moat idea today
« Reply #12 on: March 11, 2020, 12:43:33 PM »
One area to look at is companies with very high cash levels and high FCF (potential for capital returns and M&A). Let me know if you see any selling cheap. Google is getting closer but would like to see this closer to $1000.

Schwab711

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Re: Your best wide moat idea today
« Reply #13 on: March 11, 2020, 12:45:11 PM »
One area to look at is companies with very high cash levels and high FCF (potential for capital returns and M&A). Let me know if you see any selling cheap. Google is getting closer but would like to see this closer to $1000.

PKE

rb

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Re: Your best wide moat idea today
« Reply #14 on: March 11, 2020, 01:00:39 PM »
Thing is never cheap but SCI is pretty moaty.

jeffsreng

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Re: Your best wide moat idea today
« Reply #15 on: March 11, 2020, 02:32:52 PM »
Pier 1 Imports Inc  8)   -- I'm studying this business to increase my competitive moat.
« Last Edit: March 11, 2020, 03:00:03 PM by jeffsreng »

Jurgis

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Re: Your best wide moat idea today
« Reply #16 on: March 11, 2020, 02:43:34 PM »
Pier 1 Imports Inc  8)

No sh!7! They are still in business? Must be wide moat!  8)
"Human civilization? It might be a good idea." - Not Gandhi
"Before you can be rich, you must be poor." - Nef Anyo
"Money is an illusion" - Not Karl Marx
--------------------------------------------------------------------
"American History X", "Milk", "The Insider", "Dirty Money", "LBJ"

LC

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Re: Your best wide moat idea today
« Reply #17 on: March 11, 2020, 03:30:27 PM »
Look for monopolies/oligopolies:
(Sorry these may not all be "great ideas" i.e. buy them today, but just dumping a bunch)

Visa MA as discussed at length
MSFT certainly
Bloomberg (lol)
Adobe has a pretty decent moat
Verizon/ATT in the wireless service industry; Comcast if you extend to wired
The railroads, UNP as the pure play or Berkshire
Berkshire of course you get top shelf insurance operations
Disney in the entertainment/storytelling genre
Mcdonalds in terms of fast food
The Canadian banks are pretty moaty
Nike I argue has a moat in various functions (one being talent acquisition)
Paychex/ADP are semi-moaty in the payroll processing space. Especially for largeCo's.
Amazon/Walmart have quite the moats
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sleepydragon

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Re: Your best wide moat idea today
« Reply #18 on: March 11, 2020, 03:43:43 PM »
Mega Banks (wfc, bac, jpm)
Cigarettes (MO, PM)
Defense (GD, RTN)
BRK
Goog
Intel
TSCO
BNKG

Spekulatius

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Re: Your best wide moat idea today
« Reply #19 on: March 11, 2020, 07:40:15 PM »
Now that the market has taken a hit I'm out hunting for high quality businesses with big moats because some are trading at fair prices for once. I was wondering if anyone has any suggestions of where to look? (other than at airlines which I have already picked through.)

Finally starting to see a few good companies get cheap (most of these are narrow moat -- wide moat businesses are still very expensive):
Gildan - death of events is going to kill their printwear business for a few years but this is trading at prices first seen in 2007.
QSR - not sure why this is selling off. People are still going to drink Tim Hortons! Lot's of debt though. And 3G is on a major losing streak.
ULTA
OTEX
BKNG - Cheap, but I think it will get much cheaper
MSM - distributor's FCF is countercyclical
DIS
GOOG - ad revenue is going to get slaughtered due to travel, etc. But large cash hoard...
TRIP - wide moat, bad business. But will not recover for a long time...

I am still raising cash, but starting to get in the buying mood.

Edit: done raising cash. Starting to look for bargains in the carnage.

No compounders brothersís portfolio is complete without MA and/or V.

Defense : LMT, to a lesser extent GD ( which I own a little of)

Airbus: commercial aerospace - BA got its wings clipped

AMZN - #1 in , cloud service
MCO, SPGI - Financial plumbing

The combo UTX/RTN looks pretty good too, if P&W ever gets the geared turbofan engine to work well
Life is too short for cheap beer and wine.