Value Investors Club
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Common Stocks and Uncommon Profits · 1958

Philip Fisher's scuttlebutt method and Fifteen Points, explained

How to research a company like a detective — the qualitative playbook that shaped 15% of Warren Buffett.

On an essay by Philip FisherSeptember 14, 20265 min read

Warren Buffett famously described himself as '85% Graham and 15% Fisher.' That 15% — the focus on business quality rather than just cheapness — comes largely from Philip Fisher's 1958 classic.

Scuttlebutt

Fisher's most durable contribution is a research technique he called 'scuttlebutt': instead of relying on financial statements alone, talk to a company's customers, suppliers, competitors, and former employees. The mosaic they paint reveals the durable advantages — or hidden weaknesses — that numbers alone miss.

“The business 'grapevine' is a remarkable thing.”
— Philip Fisher

The Fifteen Points

Fisher also offered fifteen questions to ask about any company — covering the runway for sales growth, the depth of management, R&D productivity, profit margins, and, crucially, the integrity of the people running it. The thread through all fifteen is durability: he wanted businesses that could compound for decades, not cheap stocks to flip.

  • Great research is qualitative as well as quantitative — go talk to people.
  • Look for durable competitive advantages and honest management.
  • The best returns come from holding exceptional businesses for years.

This is an original explainer by Value Investors Club, not the essay itself. Read Philip Fisher's original ↗.

Go deeper

Books that expand on these ideas.