“markets can stay irrational longer than you can stay solvent”

This chart of ROIC-WACC spread through the corporate life cycle by Michael Mauboussin makes me think a lot. It is more important to think about how much a company can expand its ROIC-WACC spread through its competitive advantage to its terminal rate, and if it can keep reinvesting

good books read this year that I plan to send to friends this xmas: 1) Cloudmoney by Brett Scott 2) Chip War by Chris Miller 3) The Money Revolution by Richard Duncan 4) Going Infinite by Michael Lewis all are highly relevant to understanding potential future trajectories