u/Bluetex110

How do you guys choose how big a position should be?

I'm currently at the point where 50% is in 4-5 Stocks and 50% in index funds.

Those stocks made me money but they won't double or anything, just slow compounding.

I found about 10 Stocks that i figured out were amazing businesses but i couldn't take a position because everything is invested already.

While my portfolio made about 2% i watched almost all the companies i found sky rocket, Intel, OHB,Rocket lab and all the AI stuff that doubled were i thought about opening a position but didn't because i want to hold long term.

I kinda feel stupid now😁 I mean i got good businesses that will grow over time and almost everyday i see another company that i valued as a good business take off with me standing on the sideline😁

Is it smarter to reduce the size and get into more companies if you find good ones?

Like Buffett said: I'm sitting here sucking my thumb missing good stocks😁

Would love to hear how others are doing, do you stay with a few big positions or do you own smaller positions but more in total?

Hi everyone,

after reading and watching a lot of Munger,Buffet,Pabrai and Greenblatt i always come across the approach of simple math for valuation instead of running different DCF Models.

The approach of buying a whole business with the questions of when do i get my money back and how sure are you?

Like most of you know it's often mentioned that if you need a spreadsheet or calculator don't buy the stock.

Is anybody investing like that?

I mean i check the financials , i want no or low debt that can be covered by FCF within 5 years.

EPS should cover the stock price within 3-5 years

The financial should show a steady growth

And most of the time i run it through some websites like simply to check if anything else is off with the company😁

It worked so far for me, i stayed on the sideline to see some companies sky rocket after valuating them but not investing because it i didn't feel confident to buy😁

The stocks i invested in are all up 5-10% so far but as the market is booming i don't think i made profit because of smart decisions😂

So is anybody using a simple approach like that and does it work?