Oakmark Funds Comments on Daimler

Guru stock highlight

Author's Avatar
Sep 03, 2015
Article's Main Image

We focus on determining a stock’s intrinsic value, which standard financial theory states is a function of the cash flow a business generates — current and future — discounted to the present. For example, when Daimler (XTER:DAI)’s share price was recently down 4% on the day after Greece talks broke down, we didn’t believe Daimler’s stock would be 4% less valuable if Greece were to depart from the eurozone or default on its debt. Instead, we remained confident in our long-term investment thesis for the company.

From Oakmark Funds: Staying the Course.