Try to brain-storm yourself before you proceed to next steps in the 🧵
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Step 1 - Identifying the problem correctly. Don't assume everything presented to you is correct.
Most people fail at this step. Sometimes there are data errors in examination paper as well. It's rare but it does happen !
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Step 2 - Real issue is how to handle -ive (NEGATIVE) EPS in the formula. Next thing I taught was to break task in to sub-tasks, simplify all jargons and think about all possible business scenarios.
Highlighted Red where you have trouble..
Deccan Cement falls under Scenario F.
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Step 3. Once you broke down to possible business scenario brain-strom to tackle them. For that apart from business knowledge, query skills you also need Data understanding.
This is how Step 3 will look when you transformed your thoughts & understanding into possible solution.
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Step 4 When you have possible solution this step is to transform it into the #screener formula ->
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Step 5. Next step is Validation of your formula & eliminating any issues & improving it further if needed. Here is validation, you can see how Deccan Cement is appearing.
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Leave you with little brain-storming tasks ->
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I have my regular job (8-9 hr just like most of us), need to take care of my India, US Equity & Crypto investments and above all need to spend some quality time with my family too.
Finding right stocks which suits your profile isn't easy. Takes lot of time & info is scattered all over.
Compiling & making sense out of it is just cumbersome. Watching for alerts & news is another nuisance.
How to stay focused & not get diverted with new ideas every day ?
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I faced all these CHALLENGES & I am sure most of us do. There is no one right solution. It's like trying to achieve salvation. No one path is right but Jumping paths will just leave you wandering.
Can transform it into #Screener if you want to know the stocks.
Who All Wants ?
Let me Know by your Likes & Retweets💞
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Before deep dive, lets ask a simple question with ourselves ->
Why do businesses borrow in Ist place❓
Ans - They need Capital for 1000's of business purposes but ultimate goal of all purposes is to Grow business itself.
Business growth simply means Revenue/Sales Growth.
3) Common sense - If a Company borrows capital but unable to grow it's Sales & Profits it should be Avoided.
There could be several reasons for this-
Bad Business environment
Govt/Regulatory hurdles
Bad Capital Allocation
Competition
Inefficient Management etc