The Value Investing Podcast with Fexingo: Buffett, Graham, and Long-Term Stock Picking

In Episode 79, Lucas and Luna explore return on tangible equity (ROTE) — a metric that strips out goodwill and intangible assets to reveal how much profit a company generates from its hard capital. They anchor the discussion with Berkshire Hathaway's 2025 annual report, where ROTE hit 18.4% versus the reported 13.7% return on equity, and contrast it with JPMorgan Chase's 21% ROTE (reported ROE: 17...

In episode 78 of The Value Investing Podcast, Lucas and Luna break down Joel Greenblatt's Magic Formula — a quantitative value strategy that ranks stocks by earnings yield and return on capital. They walk through how it works, where it tends to outperform, and why it's struggling in the current rate environment with the Fed funds rate at 3.63% and the S&P 500 down 1.6% over the past five days. Luc...

In this episode of The Value Investing Podcast, Lucas and Luna explore the net-net working capital strategy — a deep value approach popularized by Benjamin Graham in the 1930s and still viable in 2026. They examine a real-world example of a small-cap industrial company trading below net current asset value, discuss why most net-nets are micro-caps, and analyze how modern screening tools like the P...

In this episode, Lucas and Luna explore the cash conversion cycle as a value investing signal, anchored to a real-world example: Apple's 2026 CCC of roughly minus 70 days. They explain how a negative cycle means a company gets paid before it pays suppliers, generating float that boosts returns on capital. With the Fed funds rate at 3.63 percent, the value of that float is amplified—every day of ne...

Lucas and Luna dive into free cash flow yield as a value investing metric, using real-time data from June 26, 2026—including Pfizer's 3.1% decline and Berkshire Hathaway's 2% gain—to show why FCF yield matters more than P/E in a rate-hike environment. They break down how to calculate it, what it signals about a company's true earnings power, and why it's especially relevant when the Fed is hinting...

In episode 74 of The Value Investing Podcast, Lucas and Luna explore the return on invested capital, or ROIC — a metric that tells you how efficiently a business turns its capital into profit. Using JPMorgan as a concrete case, Lucas walks through why a bank's ROIC of roughly 14 percent signals a durable competitive advantage, and why a company like Pfizer, with a declining ROIC near 8 percent, ma...

Lucas and Luna explore why the current ratio matters more than ever for value investors in mid-2026. With the Fed funds rate holding at 3.63% and the S&P 500 down 1.9% over the past week, short-term liquidity has become a critical filter. Lucas walks through a real example comparing two large-cap stocks: one with a current ratio above 2.0 and one below 1.0, showing how the metric reveals hidden ri...

In Episode 72 of The Value Investing Podcast, Lucas and Luna explore how dividend reinvestment plans (DRIPs) can compound returns for long-term value investors. They discuss the mechanics of DRIPs, the tax implications, and how to evaluate whether a DRIP makes sense for your portfolio. Lucas ties the conversation to JPMorgan's recent $50 billion buyback announcement and the current Fed funds rate...

In this episode of The Value Investing Podcast, Lucas and Luna explore how value investors can build a high-dividend portfolio in the current rate environment. With the Fed funds rate at 3.63 percent and banks like JPMorgan launching massive buybacks after stress tests, the hosts dig into the trade-off between yield and safety. They discuss JPMorgan's new $50 billion buyback, how dividend stocks c...

In this episode, Lucas and Luna explore how value investors can use insider buying as a signal in today's market. They discuss a recent study showing that stocks with concentrated insider purchases outperform by over 10% annually, and look at specific examples including Pfizer and Bank of America. Lucas explains the key distinctions — what to look for versus what to ignore — and why insider buying...

In this episode of The Value Investing Podcast, Lucas and Luna dive into the DuPont analysis framework and how it applies to today's market environment. Using Berkshire Hathaway and JPMorgan as examples, they show how breaking down return on equity into its components—profit margin, asset turnover, and financial leverage—can uncover hidden strengths and weaknesses. With the S&P 500 down nearly 2%...

Following Alan Greenspan's passing at age 100, Lucas and Luna revisit the former Fed chair's often-overlooked influence on value investing. They discuss how Greenspan's low-rate era compressed discount rates and inflated asset prices, forcing value investors to adapt their margin-of-safety calculations. Using current data—Fed funds at 3.63%, the Russell 2000 up 1.3% in five days—they explore wheth...

In this episode, Lucas and Luna explore the EV-to-EBITDA multiple as a valuation tool for value investors in mid-2026. They contrast it with the traditional price-to-earnings ratio using a concrete example: ExxonMobil, trading at $138.47, down nearly 2% over the past week despite rising geopolitical tensions in the Strait of Hormuz. Lucas explains how EV-to-EBITDA strips out capital structure diff...

Lucas and Luna dive into the DuPont analysis, a powerful framework for dissecting return on equity. Using real data from ExxonMobil's recent 6.3% weekly drop and Chevron's 7.3% slide, they show how the three-part DuPont formula reveals whether a company's ROE comes from operational strength, smart asset use, or financial leverage. Lucas walks through the math with an example from a hypothetical ut...

In episode 65 of The Value Investing Podcast, Lucas and Luna break down the Earnings Power Value (EPV) method — a Graham-and-Dodd approach that normalizes earnings and strips out growth assumptions. Using Pfizer (PFE, down to $25.21) as a live case study, Lucas walks through how to calculate EPV, why it's useful for mature or distressed companies, and how it compares to DCF. Luna pushes back on no...

In this episode of The Value Investing Podcast, Lucas and Luna dive into the payout ratio as a signal for value investors in mid-2026. With yields tight amid a Fed holding at 3.63 percent, they examine how companies like ExxonMobil and Chevron, down 6.3 and 7.3 percent over the past week, are using dividends and buybacks to signal capital discipline. Lucas points to a Graham-era framework for inte...

Lucas and Luna drill into the specific mechanics of share buybacks as a signal for value investors — when they work, when they don't, and how to read the fine print. Using Exxon Mobil's recent 6.3% weekly drop and its active buyback program as a live case, they walk through the key metrics: buyback yield, debt-adjusted free cash flow, and insider selling patterns. They also touch on Berkshire Hath...

Lucas and Luna explore the price-to-book ratio, a cornerstone of value investing, through the lens of current markets. With the S&P 500 near 7,500 and the Fed holding rates at 3.63%, they examine why book value matters more than ever—especially for banks like Bank of America trading at a discount. They drill into ExxonMobil's recent 6.3% drop and how P/B reveals hidden value in distressed sectors....

In this episode, Lucas and Luna explore the concept of margin of safety — Benjamin Graham's foundational principle for value investors. They anchor the discussion in current market conditions, noting the recent hawkish shift at the Fed and the impact on value stocks. Lucas breaks down how to calculate a margin of safety using a real-world example: a hypothetical pipeline company with stable cash f...

In Episode 60 of The Value Investing Podcast, Lucas and Luna drill into a specific contrarian strategy: buying stocks trading near their 52-week lows. With the Russell 2000 down 0.9% over the past five days and the Dow at 51,565, they examine how value investors can identify temporary setbacks versus permanent impairment. The hosts walk through a real-world example using Pfizer (PFE), currently at...

In Episode 59 of The Value Investing Podcast, Lucas and Luna break down the Piotroski F-Score — a nine-point checklist designed by accounting professor Joseph Piotroski to separate strong value stocks from value traps. Using current market data, they walk through each criterion: profitability, leverage, liquidity, and operating efficiency. Lucas explains how the F-Score flagged Bank of America as...

In Episode 58, Lucas and Luna discuss how value investors should navigate the current interest rate environment following the Fed's June 2026 decision to hold rates steady at 3.63%. They explore why JPMorgan shares have surged 6.4% in five days while ExxonMobil has dropped 4%, and what these divergent moves tell us about sector positioning in a higher-for-longer rate world. The hosts explain the c...

In this episode of The Value Investing Podcast with Fexingo, Lucas and Luna dive into the cash conversion cycle — a powerful but often overlooked metric for uncovering operational efficiency and hidden value. Using recent data from JPMorgan and Bank of America, they show how a shorter cycle can signal competitive advantage and free cash flow generation. They also discuss how the CCC applies to ind...

In this episode of The Value Investing Podcast with Fexingo, Lucas and Luna explore a classic value strategy that is especially compelling in mid-2026: buying closed-end funds trading at steep discounts to net asset value. With the S&P 500 near all-time highs at 7,511 and the Dow above 52,000, finding true bargains is tough. But closed-end funds offer a rare pocket of value, with some funds tradin...

In this episode, Lucas and Luna explore the concept of insurance float as a competitive advantage for value investors. Using Berkshire Hathaway's recent performance and the current interest rate environment (Fed funds at 3.63%) as context, they explain how float works, why it matters for long-term stock picking, and how investors can evaluate companies that benefit from it. They discuss key metric...