Investment Philosophy & Process
Profit Investments utilizes a valuation-sensitive growth investing style. Our investment philosophy is based on the belief that mispriced businesses can be found within the stock market at any point within the market cycle. Mispriced businesses occur for a variety of reasons, including stocks trading down in sympathy with the industry, another stock or the market. We look to own quality companies trading at a discount, that have a catalyst to help them reach their intrinsic value (i.e. the value our analysts assign to a company) after a rigorous evaluation process. That evaluation process blends bottoms-up analysis, quantitative and qualitative analysis and risk-control guidelines.
Utilizing our investment philosophy, Profit Investments seeks to invest in companies that exhibit strong fundamentals, solid growth rates and attractive franchises, where the stock market price reflects a discount to a company's intrinsic values at the time of purchase. Our investment process includes thorough Research, developing a Stock Thesis, having Conviction on a stock and Monitoring that stock on an ongoing basis.