Thursday, March 15, 2012

Picking Stocks


If you want to study findamental analysis this is how I do
Findamental Analysis
1. Capial expenditure < 50% of profit is good.
2. Positive Free Cash FLow to The Firm is good.
3. ROE>20, GPM>50, OPM>NPM, NPM>15 is best.
4. Debt should not be more than 3 times of profit.
5. 5 year EPS Growth > PE

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