Skip to content

A Third Kind of Capital | InvestED Podcast | #462

  • by
A Third Kind of Capital | InvestED Podcast | #462

Video by Rule #1 Investing via YouTube
Source

Free cash flow can be a golden ticket in the hands of a company with the right leadership. They can use it to supercharge innovation, expand their reach, or reward shareholders with dividends or buybacks, and for value investors, it’s like spotting a diamond in the rough.

After the growth and maintenance expenditures are accounted for, the way a company deploys its additional capital can signal the strength of management and the potential for future returns. As Buffett tells us in his recent letter, once you’ve got companies that check all of the boxes he’s looking for, this is the icing on the cake.

Join Phil and Danielle as they continue their analysis of this year’s shareholder letter from Berkshire Hathaway, pulling out key takeaways that might’ve been overlooked by some readers.

_____________

Looking to master investing? Attend one of my 3-Day Virtual Investing Workshops! Reserve your seat here: https://bit.ly/r1-virtual-workshop

_____________

Learn more:

Subscribe to my channel for free stuff, tips and more!
YouTube: http://budurl.com/kacp
Facebook: https://www.facebook.com/rule1investing
Instagram: https://instagram.com/ruleoneinvesting
Twitter: https://twitter.com/Rule1_Investing
Pinterest: http://www.pinterest.com/rule1investing
LinkedIn: https://www.linkedin.com/company/rule-1-investing
Blog: http://bit.ly/1YdqVXI
Podcast: http://bit.ly/1KYuWb4

Buy my bestselling book Rule #1: https://amzn.to/2R9Gofj

Shopping through my Amazon link is one of the best ways to support my YouTube channel!

Go to Source