2022
Framework
by
Adam Seessel
A framework-driven investing book by Adam Seessel, founder of Gravity Capital Management, that updates value investing for the digital age. Seessel traces the evolution from Benjamin Graham’s Value 1.0 to Warren Buffett’s Value 2.0, and introduces his own Value 3.0—designed for evaluating high-growth, asset-light digital businesses. Drawing from personal experience and investment missteps, Seessel explains why traditional value methods improperly value modern tech firms. The book includes clear case studies showing how he applies this to several technology companies.
Buy a Copy
July 2023
Lightbulb moment: Seessel’s concept of "earnings power" is a modern update to Warren Buffett’s “owner’s earnings,” tailored for digital growth companies. It helped me realize that earnings aren’t apples-to-apples—company stage and growth prospects distort comparisons. Michael Mauboussin has made similar points: GAAP accounting, built for physical assets, misrepresents digital businesses by expensing investments that should be capitalized. Seessel’s background includes working with Chris and Shelby Davis at Davis Selected Advisors.