Episode Details

Welcome to Episode 1 of the Preferred Shares Podcast.

Lawrence Hamtil, of Fortune Financial Advisors, was the primary researcher for this episode.

In this episode

* The origin story of automated vending

* The mechanics of the vending business

* Warren Buffett’s foray into coin-operated machines

* How vending machine companies turned into growth stocks

* Technological innovations in the vending industry

* The vending machine company stock bubble

* Transformation of the industry

* Parallels and lessons learned

Resources & additional reading

* A Review of the Vending Industry, James J. O'Brien, Financial Analysts Journal

Vol. 18, No. 6 (Nov. - Dec., 1962), pp. 81-87 (7 pages) Published By: Taylor & Francis, Ltd.

* Selecting Growth Stocks, Nicholas Molodovsky, Financial Analysts Journal

Vol. 24, No. 5 (Sep. - Oct., 1968), pp. 103-106 (4 pages), Published By: Taylor & Francis, Ltd.

* Vendo & Coke Sales Pitch Video, 1960, (excerpt of audio played in intro)

* Fastenal FASTVend program Video, 3/17/2023, Modern industrial vending

* Business Week 1955-11-19: Iss 1368, 11/19/1955, Vending machine sales up 13% y/y

* Business Week 1956-04-07: Iss 1388, 4/7/1956, "Vending Machines Dish Up Your Dinner or Even Fetch the Week's Groceries"

* Business Week 1956-10-27: Iss 1417, 10/27/1957, FTC alleges Vendo acted illegally by acquiring Vendorlator

* Business Week 1956-12-15: Iss 1424, 12/15/1956, Longer article about vending machine industry: "From Nuts to Soup—Literally"

* Business Week 1957-06-29: Iss 1452, 6/29/1957, "FTC Sees Monopoly Peril in Merger Of Vending Machine Makers, Operators"

* Business Week 1957-09-28: Iss 1465, 9/28/1957, "Settlement Ends Antitrust Action With Vendo Co. the Apparent Winner"

* Business Week 1960-01-16: Iss 1585, 1/16/1960, Seeburg (jukeboxes) acquires Choice Vend Corp. to get into vending machine game; lots of good commentary on the industry

* Business Week 1960-11-12: Iss 1628, 11/12/1960, "Vending Machines Get Savvier"; article about the recent industry trade show and all the new stuff going on with vending machines

* Business Week 1961-01-07: Iss 1636, 1/7/1961, "Department Stores Test Robot Salesman"

* Business Week 1961-10-07: Iss 1675, 10/7/1961, "Glamor stocks take a serious tumble"; sectors include electronics, ven