Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Tesla Motors Inc (TSLA),, Inc. (AMZN): Golden Years

Happy Friday! There are more good news articles, commentaries, and analyst reports on the Web every week than anyone could read in a month. Here are eight fascinating ones I read this week.

Tesla Motors Inc (NASDAQ:TSLA)

Golden years
BlackRock CEO Larry Fink talks retirement:

So if I’m speaking to those who are, let’s say, 45 and older, I would say if you don’t start thinking about how longevity is going to change your future, you most probably will have to work much longer than you ever dreamed of doing. Or you’d better start becoming very nice and very good to your children, because most probably you’ll be living with them.

Jeff Bezos, who recently purchased The Washington Post, talks about how to break a slump: 

Continuing to contract by cutting the staff would lead to extinction, he said, “or, at best, irrelevance.” He told a group of reporters and editors Wednesday morning that “making money isn’t enough. It also has to be growing.”

“What has been happening over the last few years can’t continue to happen,” Bezos said.

“All businesses need to be young forever. If your customer base ages with you, you’re Woolworth’s,”

More complicated than it looks
Analyst Eddy Elfenbein writes on the limits of fundamental analysis, using Tesla Motors Inc (NASDAQ:TSLA) and, Inc. (NASDAQ:AMZN) as examples: 

I’d say there’s about 10% of stocks, maybe even just 5%, where fundamental analysis is totally useless. Take Tesla Motors Inc (NASDAQ:TSLA) for example. By any conventional metric, the stock is absurdly overvalued. Unfortunately, I’m not considered a genius for pointing that out. Everyone knows that. The reason is that conventional metrics don’t work on unconventional stocks. If a technology comes along which changes the entire ballgame, all those ratios go out the window.

Consider the case of, Inc. (NASDAQ:AMZN). At its peak during the tech bubble, the stock was going for a ridiculous valuation. As it turns out, the stock was actually cheap. Since the turn of the century,, Inc. (NASDAQ:AMZN) has greatly outperformed the S&P 500. AMZN has more than tripled while the S&P 500 has had meager returns. The reason is that, Inc. (NASDAQ:AMZN) was a new business that changed the marketplace. Valuation didn’t tell you that.

C Suite
A study from the Rotman School of Management talks about the differences between private and public companies:

Family owned businesses perform poorly on most accepted ‘best practices’ of good corporate governance, from majority voting to independent chairs. Could it be possible that they have an important lesson to teach publicly held companies? Yes, say the authors, who discuss their latest research, which indicates that family owned businesses are not only outperforming publicly held businesses over time, but they are also leading the way on perhaps the most important best practice of them all: long-term thinking.

American students tend to do poorly on international education tests. But Massachusetts dominates, writesThe New York Times

If Massachusetts were a country, its eighth graders would rank second in the world in science, behind only Singapore, according to Timss — the Trends in International Mathematics and Science Study, which surveys knowledge and skills of fourth and eighth graders around the world. (The most recent version, in 2011, tested more than 600,000 students in 63 nations.)

Massachusetts eighth graders also did well in mathematics, coming in sixth, behind Korea, Singapore, Taiwan, Hong Kong and Japan. The United States as a whole came in 10th in science and 9th in math, with scores that were above the international average.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.