Kyle breaks down Michael Mauboussin’s best ideas on noise, valuation, the rule of 40, algorithms, and base rates. What you'll learn here: 00:00:00 - Intro 00:03:00 - How to use the BIN acronym to help you deal with forecasting error 00:14:32 - Four myths in investing (many of which I’ve fallen for) 00:26:15 - Why you must take GAAP numbers on a case-by-case basis due to handicaps of the standard 00:25:07 - How the rise in passive investing is making active investing more challenging 00:33:19 - Why GAAP losers outperform GAAP winners 00:37:14 - Why you should understand the differences between pricing and valuing a business 00:48:39 - Why using assorted multiples will help identify true undervaluations 00:45:50 - How to utilize the rule of 40 in your investing regardless of whether you invest in tech or not 00:49:16 - What to know about the base rates of a public business’s survival 00:58:00 - Why most investments will fail and how to deal with the ones that succeed Transcript & Guest Info: https://www.theinvestorspodcast.com/episodes/why-your-valuation-metrics-might-be-lying-to-you-w-kyle-grieve/ 🤝 Network with like-minded value investors and get new stock ideas by joining the TIP Mastermind Community. https://www.theinvestorspodcast.com/mastermind/ 💎 Explore a new business weekly and decide if it deserves a spot in your portfolio. https://www.theinvestorspodcast.com/intrinsic-value-podcast/ ▶️ Related Episodes: - Insights from Jeremy Grantham, Michael Mauboussin, Josh Young, and more! | 2022 Takeaways: https://youtu.be/zpHznhZLUzw - Art of Spending Money w/ Savings Expert Morgan Housel | How to Optimize Money & Happiness: https://youtu.be/UB2plZjKIbU - Mastering the Markets & Weathering Market Drawdowns w/ Andrew Brenton: https://youtu.be/ikdoOTPnw-U 📖 Book Mentioned: - Where the Money Is by Adam Seessel: https://amzn.to/4iFfw1n Listen to our episodes here: https://open.spotify.com/show/28RHOkXkuHuotUrkCdvlOP Visit our website: https://www.theinvestorspodcast.com/we-study-billionaires/ Free PDF: Investing for Beginners: 4 Principles of Stock-Picking: https://www.theinvestorspodcast.com/subscribe-youtube/ ⚠️ Disclaimer: This show is for entertainment purposes only. Before making any decisions consult a professional. This show is copyrighted by The Investor’s Podcast Network. Written permission must be granted before syndication or rebroadcasting. #InvestingInsights #MichaelMauboussin #StockValuation #IntangibleAssets #ValueInvesting