“The global investment landscape offers investors tremendous opportunities. Separating winners from losers requires selectivity, research rigor and sound judgment,” Goei said in a note. “At Davis, we place great importance on the resiliency and adaptability of our companies. We look for businesses with strong balance sheets, durable growth and skillful management. Our holdings reflect where we are opportunistically finding investments around the world.”
Davis Advisors’ management style largely targets durable businesses with above average margin returns, strong competitive advantages and durability. Companies also have to show strong management that have been in place for over five years as long-term investors can be sure that these are ethical, honest people that will help the business last. Additionally, the management team will determine valuation or what’s the right price of the company, targeting long-term free cash flow of businesses, owner earnings and how durable the cash is available.
Financial advisors who are interested in learning more about Davis Advisors’ investment strategies can register for the Tuesday, Nov. 13 webcast here.