tag:blogger.com,1999:blog-7148222695370746347.post3617464361429182715..comments2023-10-15T17:16:24.091+05:30Comments on Stock Market Charts | India Mutual Funds Investment: Can a growing, profitable company go out of business?Subhankarhttp://www.blogger.com/profile/13248068905130821262noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-7148222695370746347.post-75825908421542872362011-03-22T21:39:02.328+05:302011-03-22T21:39:02.328+05:30Phenomenally simple idea that forms the basis of e...Phenomenally simple idea that forms the basis of equity analysis. Would be all ears to your views in a few large cap companies with moats...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7148222695370746347.post-51940784258546169732010-09-16T19:01:53.227+05:302010-09-16T19:01:53.227+05:30Thanks for your comments, Sanjib.
You have raised...Thanks for your comments, Sanjib.<br /><br />You have raised an interesting issue. I love companies that have wide economic moats and leadership positions. Opto Circuits is a good example of such a company.<br /><br />Bottomline is - you have to monetise the advantage to maintain the lead. If the cash runs out, the company will go out of business or get acquired.Subhankarhttps://www.blogger.com/profile/13248068905130821262noreply@blogger.comtag:blogger.com,1999:blog-7148222695370746347.post-81041576586758138882010-09-16T17:47:05.480+05:302010-09-16T17:47:05.480+05:30Subhankar da,
Excellent piece...you don't need...Subhankar da,<br />Excellent piece...you don't need any certificate from me though!<br />Just one question - just how important is "Economic Moat" or "Leadership position" in the business. Can economic moat/ leadership overrule cash flow problems, e.g. ICSA?<br />Regards<br />Sanjib ChakrabortyRuy Guyhttps://www.blogger.com/profile/08863437525696295977noreply@blogger.comtag:blogger.com,1999:blog-7148222695370746347.post-86575517240185704042010-09-15T08:48:41.016+05:302010-09-15T08:48:41.016+05:30Appreciate your comments, Raman.
You have answere...Appreciate your comments, Raman.<br /><br />You have answered your own question. Why take chances with your hard-earned money?Subhankarhttps://www.blogger.com/profile/13248068905130821262noreply@blogger.comtag:blogger.com,1999:blog-7148222695370746347.post-91156241664440640662010-09-14T22:42:16.525+05:302010-09-14T22:42:16.525+05:30Excellent and very lucid example to explain necess...Excellent and very lucid example to explain necessity of cash flow, Subhankar ji....<br /><br />But if we always insist on good cash flow, will it not mean missing out on some otherwise good companies? I do understand that "good companies" can become bad if the cash flow problems persist (like Punj Lloyd?)<br /><br />Thanks & Best Regards,<br />-feltrafeltra (Raman R)https://www.blogger.com/profile/06438264064361520795noreply@blogger.com