Dear fellow investors, Q1 2022 hedge fund letters, conferences and more Testing The Quality Of A CompanyWe bring this question up because in so many ways this is the real problem of stock investing in 2022 and the S&P 500’s pain point over the next decade. We have heard things like price-to-earnings (P/E) ratios don’t account for the balance sheet. The balance sheet is a way to test the quality of a company in security analysis. P/E ratios are just one measure of the many yardsticks of value relative to the income statement. However, these factors can run contrary to each other and even be at …