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Saturday, March 31, 2018

Value Investing as easy as ABC



Value Investing as easy as ABC


Pick a good fundamental company:
-ROE > 15%
-Positive free cash flow > 0
-Net profit margin > 15%
-Operating Cash Flow/Net income > 60%
-Retained earning/Total Shareholder Equity > 50%


Buy when share's price:
-Current share's price is under value OR
-Forwarded share's price is under value AND
-Applies safety of margin 25%
-Analyse and understand why the share's price under value
-Know the reasons why you buy it
OR
-Use TA for best timing to buy

Sell it when:
-Share's price over value
-Find a better opportunity
-The reason make you to buy no more exist
OR
-Use TA for best timing to sell

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