INVESTMENT PHILOSOPHY
Tieton Capital’s investment philosophy is based off the premise of buying and owning quality businesses.
The key points follow:
- Buy small, value common stocks like owners, not traders
- Catalysts identified to drive the company for the next two to three years
- Prefer industries where companies have the ability to differentiate
- Business has solid competitive position
- Business has quality management
- Business with prudent debt level
- Business has ability to earn sound return on capital
- Business is capable of solid cash flow generation
- Internally generated revenue growth is expected over time
- The product or service must add value
- Client accounts remain fully-invested
- Focused portfolio, own only our best ideas