Thread by @elearnmarkets

Lessons from the wonderful book of @PhilipAFisher - Common Stocks and Uncommon Profits -

The 15 points to look for in a share before investing -

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ps- In case u wish to learn the art of stock selection in details - goo.gl/sNndeL

Point 1: SCALABILITY
Does the company have products or services with sufficient market potential to make possible a sizable increase in sales for at least several years?

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Point 2: ADAPTABILITY
Does the management have a determination to continue to develop products or processes that will further increase total sales when the growth potentials of currently attractive product lines have largely been exploited?

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Point 3: RESEARCH & DEVELOPMENT
How effective are the companies R&D to its size?

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Point 4: SALES ORIENTATION
Does the company have an above-average sales organization?

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Point 5: PROFITABILITY
Does the company have a worthwhile profit margin?

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Point 6: IMPROVING PROFITABILITY
What is the company doing to maintain or improve profit margins?

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Point 7: GOOD LABOR RELATIONS
Does the company have outstanding labor & personnel relations?

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Point 8: GOOD PEOPLE RELATIONS
Does the company have outstanding executive relations?

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Point 9: MANAGEMENT QUALITY
Does the company have the depth to its management?

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Point 10: FINANCIAL EFFICIENCY
How good are the company's cost analysis & accounting controls?

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Point 11: COMPETITIVE EDGE
Are there other aspects of the business, somewhat peculiar to the industry involved which will give the investor important clues as to how outstanding the company may be in relation to its competition?

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Point 12: SHORT-TERM VS LONG-TERM PROFIT
Does the company have a short-range or long-range outlook in regard to profits?

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Point 13: GROWTH CAPITAL REQUIREMENT
In future will the growth of the company require sufficient equity financing so that the larger number of shares then outstanding will largely cancel the existing stockholders benefit from this anticipated growth?

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Point 14: MANAGEMENT COMMUNICATION
Does the management talk freely to investors about its affairs when things are going well but "clam up" when troubles and disappointments occur?

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Point 15: MANAGEMENT INTEGRITY
Does the company have a management of unquestionable integrity?

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