Investing basics2001, rev. 2021
Expectations Investing
Michael J. Mauboussin and Alfred Rappaport
Teaches how to read the expectations already embedded in a stock price and judge what a company must deliver for the investment to work.
Mental models
Model 1
Use this model to understand the business before the ticker.
Model 2
Use this model to separate market price from economic value.
Model 3
Use this model to test the thesis against evidence.
Model 4
Use this model to build a process before committing capital.