Why Inventory Turns Are Key in Evaluating a Company’s Gross Margin

Business strategy is not binary. High gross margins are good, but just because they are higher doesn’t always mean a company has a better strategy. Other components of gross margin, such as inventory turns, can reveal business models with better profits and cash flows even while targeting lower margins. Before exploring the basics of inventory […]

Core-Satellite Portfolio Strategy: Adding Stability and Alpha to Your Portfolio

The core-satellite approach to building an investment portfolio can help reduce portfolio risk while still giving investors an opportunity to outperform the market. The core-satellite strategy also has benefits in terms of low-costs due to trading commissions, passive investing, and capital gain tax deferrals. My personal investment portfolio follows a core-satellite approach so that if […]