Newsletter Q4 2023

We must be careful here and go where the puck isn’t to butcher a Wayne Gretzky saying. That means being contrarian – focusing on opportunities in value and dividend-paying stocks and other stocks that have underperformed as well as stocks that are well-positioned to grow earnings and cashflow. There is clearly a path for continued appreciation in equities if the so called economic “Soft Landing” holds true and inflation continues to decelerate to more normalized levels. However, after coming off such a growth driven outperformance in stocks, we are more comfortable primarily sticking to finding undervalued companies with durable cash flows, solid balance sheets, strong competitive positions, and consistent dividend growth that trade at attractive valuations.