Warren Buffett - 4 Lesson from Greatest Investor

Warren Buffett - 4 Lesson from Greatest Investor
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This is a beginners guide to invest in shares (stock market) in India.
Best Way To Invest in 20s:
How to Think in Your 20s:
The Intelligent Investor Summary:
How to Calculate Intrinsic Value of a Stock:
Magic of Dividends for Financial Freedom:
Regular Income from Stocks - Dividend Investing for Beginners:
How to Invest in Index, ETF and Stocks - TUTORIAL
POWER OF COMPOUNDING in Investing:
Analysis of Top Wealth Creator Stock in India:

Warren Buffett was born in Omaha in 1930. He developed an interest in the business world and investing at an early age including in the stock market. Buffett started his education at the Wharton School at the University of Pennsylvania before moving back to go to the University of Nebraska, where he received an undergraduate degree in business administration. Buffett later went to the Columbia Business School where he earned his graduate degree in economics.

Buffett began his career as an investment salesperson in the early 1950s but formed Buffett Associates in 1956. Less than 10 years later, in 1965, he was in control of Berkshire Hathaway. In June 2006, Buffett announced his plans to donate his entire fortune to charity.

Buffett follows the Benjamin Graham school of value investing. Value investors look for securities with prices that are unjustifiably low based on their intrinsic worth. There isn't a universally accepted way to determine intrinsic worth, but it's most often estimated by analyzing a company's fundamentals.

Like bargain hunters, the value investor searches for stocks believed to be undervalued by the market, or stocks that are valuable but not recognized by the majority of other buyers.

Buffett takes this value investing approach to another level. Many value investors do not support the efficient market hypothesis (EMH). This theory suggests that stocks always trade at their fair value, which makes it harder for investors to either buy stocks that are undervalued or sell them at inflated prices.
Warren Buffett finds low-priced value by asking himself some questions when he evaluates the relationship between a stock's level of excellence and its price. Here's a small breakdown of warren Buffett's strategy.
1. Company Performance
Sometimes return on equity (ROE) is referred to as the stockholder's return on investment. It reveals the rate at which shareholders earn income on their shares. Buffett always looks at ROE to see whether a company has consistently performed well compared to other companies in the same industry.
2. Company Debt
The debt-to-equity ratio (D/E) is another key characteristic Buffett considers carefully. Buffett prefers to see a small amount of debt so that earnings growth is being generated from shareholders' equity as opposed to borrowed money.
3. Profit Margins
A company's profitability depends not only on having a good profit margin but also on consistently increasing it. This margin is calculated by dividing net income by net sales. For a good indication of historical profit margins, investors should look back at least five years.
4. Is It Cheap?
This is the most important one. Finding companies that meet the other criteria is one thing, but determining whether they are undervalued is the most difficult part of value investing. And it's Buffett's most important skill.

To check this, an investor must determine a company's intrinsic value by analyzing a number of business fundamentals including earnings, revenues, and assets. And a company's intrinsic value is usually higher (and more complicated) than its liquidation value, which is what a company would be worth if it were broken up and sold today. The liquidation value doesn't include intangibles such as the value of a brand name, which is not directly stated on the financial statements.

[arnabchatterjee]

4 Lessons:
1. Find a way to make money while you sleep
2. Power of compounding
3. Investment Strategy (Business Tenets, Management Tenets, Financial Tenets, Market Tenets)
4. Continuous learning

[nirankota]

Sir buffet is the luckiest old man. Now world changed in different folders. I request you sir pl take the example of any Indian man worked hard and earned in Indian conditions . I am very thankful for your valuable information.

[Noname-oqmk]

Aapki sari video ek jasi hoti ja rahi ha.but still.... love from Siliguri.

[audrey]

Great video! any advice on stocks to acquire to diversify my reserve across multiple makets while creating a comprehensive portfolio allocation that balances my concerns of risk aversion and returns that meet yearly inflation? Roughly $120K in my portfoIio are in tech/TSLA stockss

[VisionVibesNew]

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[carter]

A crash and bullish market provides equal high-yield potential, it's all about information and strategy application, I've seen folks make as much as $700k profit in a crashing market and pull it off much easily in a bull market, Unequivocally the crash is getting somebody somewhere rich..

[payaljoshi]

You are simply genious. Keep it up. Thanks for educating us.

[pushkarerande]

I love your videos.
Very nice for learning.
Suggesting topics for your next videos :
1. How should a non senior person in India invest to get max output?
2. Best investment instruments to form our portfolio, so that it works even in negative conditions.
3. How can Indians apply the Power of Compounding in various investment instruments?
4. In India, How to get passive income,
how to increase it to its maximum potential,
And how to manage it so that it does not hit the income tax barrier (or we have to pay the least income tax applicable on it)?

[shahabdul]

Waren buffet is well discipline thats why he is able to create massive wealth mind is not only required discipline too

[pavanrahane]

Power of Compounding is the 8th wonder in the world 🌎. Very well described. 👍👍

[AliAkbar-qnwh]

My day gets better when I see notification from your channel, the excitement of learning new things in my life

[surjyadaychakrabarti]

Can't believe all of this content are free of cost! the knowledge you provide is a secret and one of the most valuable lesson of all time .All I have to say is never compromise on your content even if you take 3 month time to upload one video take it and come up with this kind of video .Thank you😊

[hooman]

you're the best investment channel. I watch all your videos.

[umeshd]

Please make detail video on indian growth for next 20 year's and investment STRATERGY in stock market and compounding benifit also

[shahbazSayyedShorts]

Please make a video on insurance.. how can we protect our investments in time of emergency.

[nekikidawat]

What's your name, come someday on YouTube live

[surendrajha]

Thanks you so much sir 🥰🥰
powerfull video ✨💫🙏🙏

[Nishiskitchenrecipe]

Thanks for sharing valuable information

[Lovepreet-xsqi]

THANK YOU SO MUCH FOR THIS WONDERFUL INFORMATION.

[vinodpawar]

I'm only following your channel for investing thank you sir🙏