moats — Investment Masters Class
“Any company whose earnings are growing consistently or more important, are likely to grow consistently has something unique about it. The competition can read these earnings records too, and fat earnings records are an invitation to come in and sample the cream. So a company that has something unique about it has something the competition cannot latch on to right away. Whatever it is that is unique is a glass wall around those profit margins.” Adam Smith, The Money Game
”The returns generated by owning gate-keeper assets have been responsible for some of the greatest fortunes in history. Be it Rockefeller consolidating the refining business under Standard Oil, or the Carnegie-Frick steel empire, amalgamating Federal Steel, Carnegies Steel, The American Steel and Wire Company and the Rockefeller ore fields into the aptly named US Steel Corporation. The key to their success was their ability to limit output and thereby maintain stable and highly profitable prices at a critical juncture in the supply chain.” Marathon Asset Management
“I used to have a gas station down the road here in Omaha and there was another gas station down the road. Whatever he charged for gas was my price. You don’t want to be in a business like that.” Warren Buffett
