Tuesday, August 7, 2007

Stocks to Watch: What is this?

As part of the learning expirence, I will putting stock "picks" up. They will be listed to the right of this blog.

I will make an entry about why the stock looked promising. After one month, I will make another entry stating how that pick is doing.

An Example Template:


Symbol - google
Price: $??.??
Notes and observations about the stock

Fundamentals:
  • Free Cash Flow: Cash Flow from Operations - Capital Expenditures
  • Market cap: Current Share Price * Total Shares Outstanding
  • Debt: Total Liabilities + Short Term Liabilities
  • Enterprise value: Market Cap - Cash + Debt
  • True Value: Market Cap / Total Shares
  • P/E: Researched
  • 5 year earning estimate: Researched and Best Guess
  • PEG: P/E divided Earning Est
  • Sector P/G Rating: Researched
  • Operating Income/Loss: Total Income
Questions to be Asked
  • Y/N - Company has Positive Cash Flow
  • Y/N - Stock is priced under $10.00
  • Y/N - Stock is under valued - Est. value is $?.??
  • Y/N - Is Small Cap Stock under 1 Bill market cap
  • Y/N - PE is below sector average
  • Y/N - Last quarter was profitable
  • Y/N - YTD was profitable
  • Y/N - Last Year was profitable
  • Y/N - Has positive quarterly estimates
  • Y/N - PEG is less then 1.0 (Only if profitable and has earning estimates)
  • ???? - chart patterns

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