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Content provided by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.
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The Hidden Power of Capital Allocation (And Why Order Matters)

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Manage episode 498163048 series 3422773
Content provided by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode of the Investing for Beginners Podcast, Dave and Brian Feroldi from Long-Term Mindset dive deep into the importance of capital allocation and why the order of operations matters. Brian explains the foundational aspects of capital allocation, including reinvestment in the core business, paying down debt, and other strategies for maximizing returns. The discussion covers real-world examples such as Teladoc's acquisition of Livongo and the capital allocation practices of companies like AutoZone, Coca-Cola, and Apple. Learn why understanding capital allocation is crucial for investors, especially those investing in individual businesses, and how to analyze management's decisions for better investment outcomes.

00:21 Understanding Capital Allocation

00:57 Importance of Capital Allocation

04:01 Five Core Options for Capital Allocation

06:34 Case Study: Teladoc and Livongo

07:38 The Order of Capital Allocation

14:33 Framework for Capital Allocation

26:50 Analyzing Capital Allocation Decisions

32:01 Red Flags in Capital Allocation

35:37 Examples of Great Capital Allocation

37:01 Conclusion and Resources

Timestamps are generated by artificial intelligence, and are not 100% accurate depending on the platform used for listening.

More from Brian:

Free Investing ebook

Today’s show is sponsored by:

Go to ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠SHOPIFY.COM/beginners⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ to start selling with Shopify today.

Get your summer savings and shop premium wireless plans at ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠MintMobile.com/beginners⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

Stop needlessly overpaying for car insurance. Drivers who save with Jerry save over $1,300 a year on average. Download the Jerry app at ⁠⁠⁠⁠⁠Jerry dot AI slash Beginners⁠⁠⁠⁠⁠

Squeeze the most out of your Summer with Liquid I.V. Tear. Pour. Live More. Go to ⁠⁠⁠⁠⁠LIQUID-IV DOT COM⁠⁠⁠⁠⁠ and get 20% off your first order with code INVESTING at checkout.

Leesa has a lineup of beautifully crafted mattresses tailored to how you sleep – without the luxury price tag. Go to ⁠Leesa.com⁠, promo code INVESTING for 25% off mattresses PLUS an extra $50 off.

What do Dave and Andrew recommend?

Our #1 recommended stock research platform is FinChat (now Fiscal.ai). Get 2 weeks access for free using our link (no card required): ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠fiscal.ai/ifb⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

Have questions? Send them to ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠[email protected]

SUBSCRIBE TO THE SHOW ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

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Learn more about your ad choices. Visit megaphone.fm/adchoices

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590 episodes

Artwork
iconShare
 
Manage episode 498163048 series 3422773
Content provided by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Andrew Sather & Glassbox Media, By Andrew Sather, and Dave Ahern | Stock Market Guide to Buying Stocks like or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode of the Investing for Beginners Podcast, Dave and Brian Feroldi from Long-Term Mindset dive deep into the importance of capital allocation and why the order of operations matters. Brian explains the foundational aspects of capital allocation, including reinvestment in the core business, paying down debt, and other strategies for maximizing returns. The discussion covers real-world examples such as Teladoc's acquisition of Livongo and the capital allocation practices of companies like AutoZone, Coca-Cola, and Apple. Learn why understanding capital allocation is crucial for investors, especially those investing in individual businesses, and how to analyze management's decisions for better investment outcomes.

00:21 Understanding Capital Allocation

00:57 Importance of Capital Allocation

04:01 Five Core Options for Capital Allocation

06:34 Case Study: Teladoc and Livongo

07:38 The Order of Capital Allocation

14:33 Framework for Capital Allocation

26:50 Analyzing Capital Allocation Decisions

32:01 Red Flags in Capital Allocation

35:37 Examples of Great Capital Allocation

37:01 Conclusion and Resources

Timestamps are generated by artificial intelligence, and are not 100% accurate depending on the platform used for listening.

More from Brian:

Free Investing ebook

Today’s show is sponsored by:

Go to ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠SHOPIFY.COM/beginners⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ to start selling with Shopify today.

Get your summer savings and shop premium wireless plans at ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠MintMobile.com/beginners⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

Stop needlessly overpaying for car insurance. Drivers who save with Jerry save over $1,300 a year on average. Download the Jerry app at ⁠⁠⁠⁠⁠Jerry dot AI slash Beginners⁠⁠⁠⁠⁠

Squeeze the most out of your Summer with Liquid I.V. Tear. Pour. Live More. Go to ⁠⁠⁠⁠⁠LIQUID-IV DOT COM⁠⁠⁠⁠⁠ and get 20% off your first order with code INVESTING at checkout.

Leesa has a lineup of beautifully crafted mattresses tailored to how you sleep – without the luxury price tag. Go to ⁠Leesa.com⁠, promo code INVESTING for 25% off mattresses PLUS an extra $50 off.

What do Dave and Andrew recommend?

Our #1 recommended stock research platform is FinChat (now Fiscal.ai). Get 2 weeks access for free using our link (no card required): ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠fiscal.ai/ifb⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

Have questions? Send them to ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠[email protected]

SUBSCRIBE TO THE SHOW ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Apple⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ | ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Spotify⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ | ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠YouTube⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ | ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Amazon⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ | ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Tunein

Learn more about your ad choices. Visit megaphone.fm/adchoices

  continue reading

590 episodes

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