Clay Finck chats with Arif Karim the importance of pricing power for a company operating in an inflationary environment, how an investor can determine whether a company has adequate pricing power or not, why CostCo has spectacular pricing power despite their very low margins, the investment case for Ferrari, what an idiosyncratic business is, and much more!   Arif is a senior investment analyst at Ensemble Capital. Before joining Ensemble Capital, he was a senior investment analyst and co-portfolio manager at Kilimanjaro Capital. Arif graduated from the Massachusetts Institute of Technology with a BS in Economics and he is also a CFA charterholder.   IN THIS EPISODE, YOU’LL LEARN: 00:00 - Intro 00:20 - The importance of pricing power 02:22 - How to determine whether a company has adequate pricing power or not 07:31 - Why Costco has spectacular pricing power, despite their very low margins 14:08 - The investment case for Ferrari 34:35 - Idiosyncratic business and what it means 37:59 - How Ferrari will be able to continue to grow their business for many years to come ☕ Get the freshest roasted and ethically sourced beans from America’s best local roasters with Trade Coffee. To get started, take their quiz at https://drinktrade.com/TIP, and start your journey to your perfect cup. Plus, you get to enjoy a total of $20 off your first three bags! ✔️ Subscribe to Millennial Investing podcast show: https://open.spotify.com/show/7dnn22EWyo6MLsPaR492BM 🖊️ Access our free show notes and transcript here: https://www.theinvestorspodcast.com/millennial-investing/fidelity-digital-assets ▶️ RELATED EPISODES: - (MI149) Peter Lynch & GARP Investing w/ Robert Reynolds: https://www.theinvestorspodcast.com/millennial-investing/peter-lynch-garp-investing/ - (TIP376) The Value Of Netflix W/ Arif Karim: https://www.theinvestorspodcast.com/episodes/value-of-netflix-w-arif-karim/ 💡 OTHER RESOURCES - Check out Ensemble Capital: https://ensemblecapital.com/ - Check out Ensemble Capital’s Blog - Intrinsic Investing: https://intrinsicinvesting.com/ - Robert and Clay’s tool for picking stock winners and managing our portfolios, TIP Finance: https://www.theinvestorspodcast.com/tip-finance/ - Check out our Investing Starter Packs about business and finance: https://www.theinvestorspodcast.com/mi-starter-packs/ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ LISTEN 🎧 TO OTHER SHOWS FROM OUR NETWORK: ₿ If you're interested in Bitcoin, checkout our Bitcoin Fundamentals podcast show: https://youtube.com/playlist?list=PL_xlkwLDH1F8wOLjjwNCM5B1qFdrtTdTZ 📚 Dive into value investing and learn more about billionaires with our We Study Billionaires podcast show: https://youtube.com/playlist?list=PL_xlkwLDH1F9dDPFYGAHRbrWoToCe2uoU 🏘 Learn the ins and outs of real estate investing with our Real Estate 101 podcast show: https://youtube.com/playlist?list=PL_xlkwLDH1F8Yw_8xO2nk-RD7fhb3yktn 💸 Get introduced to the world of investing with our Millennial Investing podcast show: https://youtube.com/playlist?list=PL_xlkwLDH1F_p00VYv3psJ8rhDAGOvR5W ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ FOLLOW US ON SOCIAL MEDIA📱: 💻 Facebook: https://www.facebook.com/groups/theinvestorspodcast/ 👔 Linkedin: https://www.linkedin.com/company/the-investor's-podcast/ 🐦 Twitter: https://twitter.com/TIP_Network ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ 📥 Download Stig & Preston's 1-page checklist for finding great stock picks: https://www.theinvestorspodcast.com/form-youtube-checklist/ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ⏤ ❗ DISCLAIMER: This show is for entertainment purposes only. Before making any decisions consult a professional. This show is copyrighted by The Investor’s Podcast Network. Written permission must be granted before syndication or rebroadcasting.