Mostly been lurking here on Saul’s board but have been putting the lessons here to good use. I have been using the 1YPEG spreadsheet as one component of my stock analysis as I went through a pretty major rebalancing of my portfolio over the last two months. Switched from 95% mutual funds to 95% stocks. It has been a fun learning experience and from all the things I have learned on TMF and here on Saul’s board I added INBK, AMBA, and SKX to my portfolio along with some other quality companies.
I wanted to share with you a real life story about Skechers. I was kind of a holdout on this one. It was obvious to me that they were growing but I don’t understand fashion, clothes, shoes, etc… I know that people wear them. I have no idea why they choose one over another. I grew up on a farm where we wore what was practical. For the last 15 years I have been in the Navy and I wear a uniform every day so I never, ever, think about clothes. My wife says it shows on the few times I throw on a set of civilian clothes to run to the store or go out. I digress.
My wife has severe back problems. Several herniated discs brought on by a degenerative bone disease. Everything is painful, even walking. We looked everywhere for shoes that would help her. Finally, a friend of our suggested Skechers. I knew nothing about this company other than the stuff I had heard on this board. We went and bought her a pair about a month ago. Obviously these shoes did not cure my wife’s disease. They did however make walking a much more enjoyable experience. She now has three pairs for herself and she bought a pair for our two kids as well. She told me that I also need to get some and I usually do what my wife tells me as most intelligent men would do.
I bought SKX last week because I was finally able to see how this company was different. I understood all the math and growth and all that. What I didn’t see was why they held a competitive advantage over established companies like Nike, Adidas, etc… Now I do see why their product is superior and how they have the potential to take market share from those giants.
Best of luck to all. Fool on.
-Matthew