I recently posted a great guide on a valuation framework: https://divistockchronicles.substack.com/p/finding-intrinsic-value-the-fcfe I've applied it here to ATD, as they have reported their fiscal year 2026 earnings (https://www.blossomsocial.com/posts/ATD-Fiscal-Year-2026__POST-1785867067730-CwVeAQhp_6HJo4ILQ6VP4RrGQ). It provides a solid foundation for evaluating the current price, but more importantly, it drills down to meaningful margin‑of‑safety (MOS) levels. My buy target on ATD has consistently sat between $60–$70, and as shown in the image, that aligns well with a 20–30% MOS range. Reinforcing your process through valuation exercises like this adds confidence to your approach when buying individual stocks. It’s not for everyone—there’s a real time commitment involved—but with today’s AI tools, much of the heavy lifting can be accelerated, making the process far more efficient. Ultimately, combining disciplined valuation work with modern analytical tools helps you stay grounded, consistent, and intentional in your investment decisions.
626 views
2 Comments
Alex @dega6 · 21d
Question about this, as the stock moves how do you adjust your buy target? We expect stocks like this to compound and continue to grow in value, so anchoring to a specific price doesn’t really work. For example after the recent re-rating I doubt it hits 60-70 again.
See the full comment section 👀Sign up for the full Blossom experience!
