The industry: A crucial piece in stock evaluation

The industry: A crucial piece in stock evaluation. Fundamental or technical research on a company that ignores the industry in which a company operates is like doing research in a bubble. As we always indicate in our presentations, we spend a lot of time visiting companies and visiting both listed and unlisted competitors in the industry sector. History is littered with companies and sectors that at one stage would have been great investments but which wither, lose their way or become obsolete. Many people have dedicated their lives to trying to understand why some companies can adapt and be innovative while others cannot. Even when companies can innovate, they may still fail. This article discusses the importance of evaluating the industry as part of the investment process. (VIEW LINK)