Warren Buffett - Investment Philosophy

1. Intrinsic Value

"Intrinsic value is the discounted value of the cash that can be taken out of a business during its remaining life."

Buffett calculates intrinsic value using owner earnings rather than GAAP earnings, factoring in depreciation and capital expenditures. The key is compounding — holding great businesses for long periods allows gains to compound tax-deferred.

2. The Moat

"The key to investing is not assessing how much an industry is going to affect society, o

Summary

Chairman and CEO of Berkshire Hathaway, the world's most successful value investor with a net worth exceeding $100 billion.

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