Hi Guys, I guess we all dream of holding quality compounders for a long time and preferably picking them up at a fair price. BUT, what do you do when you finally manage to pick one up and it rushes up at rocket speed, to become what you regard overvalued? Example: I got lucky and picked up the medical device company Mettler toledo (MTD), when it briefly dipped in nov 2023, but the marked has since send it up almost 50 % . I currently regard it overvalued with near term growth prospects being challenged as well. SO, what to do? Take the money and run or wait it out, knowing it could be flat for 2-4 years an im even likely to see a few huge dips along the way? But also knowing it is a stable long term grower which will be here 10 - 20 years from now and have done its magic compounding trick. What do you do in these kind of situations?

I currently have 20 stocks in my portfolio. None of which are BRKA or B. However, I remember the late great Charlie Munger state during their annual BRK meeting that "you only need one stock." That is of course if you bought it at below fair value and it has substantially risen over time between price and/or dividends. However, the problem I have is two-fold. One is that I do not like sitting on cash. I want my money working at all times. The second issues is that when I purchase a stock and it proceeds to run higher, I DO NOT purchase more shares. I typically wait a reasonable time to purchase that stock if it has a pullback or I go to the "market of stocks" and shop for bargains. I am just curious, how many stocks should you own in a portfolio?

If you're looking to generate income with as little time as possible, I'd encourage you to research Schwab US Dividend Equity ETF (SCHD). It has a 4%+ dividend yield (at least right now) and has historically performed quite well. Here's a comparison of SCHD to some other dividend ETFs: https://www.youtube.com/watch?v=64NEiyoNBIM https://www.morningstar.com/etfs/arcx/schd/quote

So obviously, owning an "elite" business for years is a great idea for any investor at basically any level. And of course, you would like to invest when that business was fairly valued, if not undervalued. But for our discussion here, let’s exclude the value at which a business is priced. 1. What do you look for in an "elite" business? 2. What do you look for that indicates a business is becoming “elite”? 3. What are the indicators that a business is no longer “elite”?

What's the strategy if Harris becomes president and implements a tax on unrealized gains? It seems like that would destroy value investing and especially coffee can investing.