Cliff Sosin

I don't care that this is a business that will perpetually throw up hard problems. I'll buy it anyway. But I do think that I've now come to understand that I can judge it and that management matters a lot. So it gets weighted into my thinking in a way it wasn't before. For what it's worth, I'll add to you how I judge it. Meeting with a management team is great.

I don't care that this is a business that will perpetually throw up hard problems. I'll buy it anyway. But I do think that I've now come to understand that I can judge it and that management matters a lot. So it gets weighted into my thinking in a way it wasn't before. For what it's worth, I'll add to you how I judge it. Meeting with a management team is great.

It turns out all the people who become CEOs figured out how to sound great. You know, I learn a little bit, but I certainly listen to them talk in public. And you can definitely pick up over time who kind of is making what seem like sound business judgments and giving good reasons for them and people who, you know, aren't.

It turns out all the people who become CEOs figured out how to sound great. You know, I learn a little bit, but I certainly listen to them talk in public. And you can definitely pick up over time who kind of is making what seem like sound business judgments and giving good reasons for them and people who, you know, aren't.

That being said, the really good way to do it, I find, is I talk to former employees. And I'm certainly interested. I'm using that to learn about the company, learn about how it works, how do you buy things, how do you sell things, blah, blah, blah. But I'm also just assessing them. And a company which spits off

That being said, the really good way to do it, I find, is I talk to former employees. And I'm certainly interested. I'm using that to learn about the company, learn about how it works, how do you buy things, how do you sell things, blah, blah, blah. But I'm also just assessing them. And a company which spits off

People who worked there for 10 years, left on good terms, who you're just like, I don't get it. This guy's an idiot. That says something about the caliber of people in the organization. And the human capital exhaust is kind of indicative of what's inside. And conversely, when you find yourself, go talk to 10 former employees who spent at least five years at Capital One. They'll blow your mind.

People who worked there for 10 years, left on good terms, who you're just like, I don't get it. This guy's an idiot. That says something about the caliber of people in the organization. And the human capital exhaust is kind of indicative of what's inside. And conversely, when you find yourself, go talk to 10 former employees who spent at least five years at Capital One. They'll blow your mind.

That tells you something about what's going on in Capital One. And so I find that that's really the best approach. As to Ernie, I think, you know, at the risk of inflating his ego, I think that someday people will compare Jeff Bezos to Ernie Garcia, not the other way around. He's extraordinary, right? This business is... incredibly difficult, as I've tried to emphasize so many times.

That tells you something about what's going on in Capital One. And so I find that that's really the best approach. As to Ernie, I think, you know, at the risk of inflating his ego, I think that someday people will compare Jeff Bezos to Ernie Garcia, not the other way around. He's extraordinary, right? This business is... incredibly difficult, as I've tried to emphasize so many times.

There's a reason why they've succeeded where nobody else in the world has been able to succeed. And I'll also add that I'm aware, obviously, of his dad's history with the savings and loan crisis. And This is – I think it was either a $20 or $50 fine that he paid as like a late 20-something. And this is, by the way, his dad, not him. And this is 50 years ago or 40 years ago.

There's a reason why they've succeeded where nobody else in the world has been able to succeed. And I'll also add that I'm aware, obviously, of his dad's history with the savings and loan crisis. And This is – I think it was either a $20 or $50 fine that he paid as like a late 20-something. And this is, by the way, his dad, not him. And this is 50 years ago or 40 years ago.

It's just – it is wild to me that people then take – What his dad did. Yeah, people take that fact. They're like, therefore, this company, you know, is a fraud. And it's like, oh, my God. Like, this is the, you know, the guy was a billionaire. What was his plan? To, like, make a few billion more but send everyone he loves to prison? Like, this makes no sense to me.

It's just – it is wild to me that people then take – What his dad did. Yeah, people take that fact. They're like, therefore, this company, you know, is a fraud. And it's like, oh, my God. Like, this is the, you know, the guy was a billionaire. What was his plan? To, like, make a few billion more but send everyone he loves to prison? Like, this makes no sense to me.

If you just spend any time dealing with talking to people who've dealt with the Garcias over... the 35 years that, you know, since the, you know, guy, you know, made a mistake, which, you know, if you actually go through the details of it, it's not obvious he did anything super wrong, but like whatever, he got caught up in stuff. Everyone speaks incredibly highly of them.

If you just spend any time dealing with talking to people who've dealt with the Garcias over... the 35 years that, you know, since the, you know, guy, you know, made a mistake, which, you know, if you actually go through the details of it, it's not obvious he did anything super wrong, but like whatever, he got caught up in stuff. Everyone speaks incredibly highly of them.

They've done nothing but behave totally ethically. If you go through the experience the company had in 2022 or whatever, like there were plenty of opportunities for them to hurt us as third party shareholders. And they haven't. And, you know, so I mean, Ernie does a great job of just tuning all that nonsense out as to like what he does. Well, he's incredibly smart.

They've done nothing but behave totally ethically. If you go through the experience the company had in 2022 or whatever, like there were plenty of opportunities for them to hurt us as third party shareholders. And they haven't. And, you know, so I mean, Ernie does a great job of just tuning all that nonsense out as to like what he does. Well, he's incredibly smart.

He's assembled the team around him that are incredibly smart. And he does a great job of thinking about things in a variety of perspectives that are very, you know, wise. So on the one hand, he'll analytically explain to you how, as an outside investor, you could look at CarMax and try to make a sensible guess at what Carvana sees as its price elasticity demand, which is a fairly analytical thing.

He's assembled the team around him that are incredibly smart. And he does a great job of thinking about things in a variety of perspectives that are very, you know, wise. So on the one hand, he'll analytically explain to you how, as an outside investor, you could look at CarMax and try to make a sensible guess at what Carvana sees as its price elasticity demand, which is a fairly analytical thing.