DDOG with a nice AH bump

I’m always on the lookout for outstanding bootstrapped companies. To flourish without VC funding or major angel investors, they necessarily must be led by founders who not only have considerable vision, but who are also capital efficient and excellent executives.

MSFT, AAPL, FB, CSCO, SAP and even KO were bootstrapped.

I don’t know about the others but Apple had an angel investor, Mike Markkula, who became Apple’s second CEO providing early critical managerial support to the two Steves.

Encouraged by the success of the Apple I, [200 were built] Jobs started looking for investments to further expand the business,[30] but banks were reluctant to lend him money; the idea of a computer for ordinary people seemed absurd at the time. Jobs eventually met a millionaire Mike Markkula, who saw the great potential in the two Steves and became an angel investor.[31] Markkula invested $92,000 out of his own property and secured a $250,000 (equivalent to $1,100,000 in 2018) line of credit from Bank of America.[31][32] With Markkula’s help and funding, Apple Computer, Inc. was incorporated on January 3, 1977.[32]

https://en.m.wikipedia.org/wiki/History_of_Apple_Inc.

Denny Schlesinger

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“I don’t know about the others but Apple had an angel investor, Mike Markkula, who became Apple’s second CEO providing early critical managerial support to the two Steves…Markkula invested $92,000 out of his own property and secured a $250,000 (equivalent to $1,100,000 in 2018) line of credit from Bank of America.[31][32] With Markkula’s help and funding, Apple Computer, Inc. was incorporated on January 3, 1977.”

You are right about that. Perhaps investopedia (link below) and other researchers who describe AAPL and the other companies i list as bootstrapped have some angel investor threshold that they consider immaterial.

Materiality is a criteria i used in evaluating the hypergrowth stocks i have bought that i see as “pretty much bootstrapped.” IIRC, one of the companies on my list received $26 million from an angel (The Trade Desk?). It would be fair by me if others feel that it’s a stretch to say that company was mostly bootstrapped. But I decided that amount was relatively modest.

https://www.investopedia.com/articles/investing/082814/compa…

Good luck to you.

And to you as well.

We are losing our edge here. What is it? Looking objectively at fast growing companies with the potential to reward intelligent investing. Objectivity requires being able to view things from multiple perspectives and weighing up information in a way that informs us about risk. Thing about DD is he goes back a ways and has some wisdom about companies growing and crashing. I won’t throw that away.

That doesn’t mean you can’t be funny or passionate or even agitated, but keep it courteous and professional, and if you have something to add, post it.

CRWD looks expensive. It is also growing fast. Where will that lead? It is only one of many stocks. Don’t ignore or accept a post just because of the poster. And let’s be courteous or at least professional. Keep your edge.

Cheers,

Bill
Who still thinks this is a great board

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“Hi Jeff, you are probably right. I shouldn’t get so annoyed at the little snarky comments from people who never share how they are doing. But you are on the sidelines and I have to deal with them every day. Let me review, for myself as well as you what happened.”

Saul,
I read your response to Jeff and after this first paragraph you wrote I thought “wow what a big man to accept some constructive criticism and move forward, what a leader and an example of the right way to handle a situation”.

Then I read on.

Jeff received an enormous amount of likes on his post. I thought it was well thought out and he made some very valid points. I’m assuming many others did as well.

Of course I’m posting this knowing that it won’t be well received by you or the moderators here. I know my place is to stay back, to be silent on this board. I just needed to point out that Jeff was brave enough to post his thoughts, apparently the same thoughts that over 100 other people thought appropriate enough to agree with.

This is in no way an attack on you Saul. This is simply to say that as the leader of this board, the guy with his name on the front door, sometimes you just have to lead by letting things go, not having to prove yourself with all the private emails of support you receive, to have the last word, to feel that you have to defend yourself when there is no attack happening, which only seems to further draw a line in the sand.

Have a wonderful weekend. Keep doing the great things you do Saul.

TMB

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I think a lot of people, especially when you’ve been on other TMF boards for a while, have an expectation that, because these boards are open and free, and because Motely Fool’s tagline is “to educate and amuse”, they think that all TMF boards are meant to be super-kumbaya. That’s the mindset that I think causes some people to get the wrong idea when interacting with a board like Saul’s, which isn’t here specifically to educate or amuse, it’s here simply to share ideas and analysis of publicly traded growth companies.

I’m not surprised that Jeff’s post above got many rec’s. But I would be willing to bet that most (not all, but probably most) of those users are relatively new to this board and probably have unrecognized losses in several SaaS stocks that they bought earlier in 2019. If I was in that camp, I might have rec’d his post too. When I first came to this board about five years ago, when the popular picks (INFN, SKX, SWKS) where having a rough patch, I wasn’t convinced that I should be trusting what I read here either. Five years and hundreds of percent gains later and that has obviously changed, but I understand the mindset when you come to a source of information that has supposedly performed incredibly for extended amounts of time and then it doesn’t immediately result in what you had hoped for.

In the past, when our stocks have been flying high, the negative posts on this board tend to revolve around trolls that didn’t invest in the same companies and then bash them with “I told you so’s” whenever there is one down day or week (despite the fact that the stocks are still way above where they were months earlier). When our stocks are in a slower patch, like some have been in recently, people, especially newer members, get disillusioned as they are on a forum surrounded by others that have had outrageous success and gains for years, and they see red ink on the page and don’t like it.

That’s natural. But at the end of the day, this forum has been successful for so long a) because of Saul himself, and b) because the board is focused and has the rules it does. Are these rules the only way to invest successfully? Of course not. But they have worked consistently for us and I’m willing to bet will continue to for a long time.

I do want to reiterate that nobody has ever claimed that one of the rules is that you can’t disagree with Saul. He swore “never again” to NTNX, but I’m still a big believer in Nutanix and, while some of my posts supporting the company as an investment this summer received plenty of dismissive responses on the forum, neither Saul nor anyone else on this board ever told me that I couldn’t have that opinion (and btw the stock is up nearly 50% while many of our SaaS stocks are down 30% or so in the same period…just to toot my own horn!)

When all is said and done, finding this board might turn out to be one of the more impactful things on my life. I have little doubt that I will someday retire younger, and more carefree than I otherwise would have thanks to the investments that I discovered and learned about here.

Saul makes the rules and he frankly deserves to bend the rules himself sometimes, I mean it’s his board after all. None of us could be here if not for him. That’s just how it is. Everyone isn’t going to like it but there are a lot of other great TMF forums that are happy to be free for all’s (most of them aren’t as successful as this one has been tho). It’s not too much to ask that, if you are going to disagree with, or question Saul, or anyone on this forum, for that matter, to provide some real analysis or support to back up why you feel that way.

I think that those of you are that are newer here, if you stick around, will ultimately end up with the same appreciation that I do (and I’m hardly one of the more longstanding members on the forum, only having been on here since about 2014, I believe).

Anyway thank you again to Saul and everyone else that contributes here. This forum will never be everything to everyone, but it is a darn amazing place to find market beating investments!

-mekong

46 Likes

This is simply to say that as the leader of this board, the guy with his name on the front door, sometimes you just have to lead by letting things go, not having to prove yourself with all the private emails of support you receive, to have the last word, to feel that you have to defend yourself when there is no attack happening

There can be only one mungofitch.

6 Likes