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CA Vivek Khatri

@CaVivekkhatri

Feb 5

𝗗𝗔𝗬 𝟯𝟬: 𝗪𝗶𝗹𝗹𝗶𝗮𝗺 𝗢’𝗡𝗲𝗶𝗹: 𝗧𝗵𝗲 𝗠𝗮𝗻 𝗪𝗵𝗼 𝗖𝗿𝗮𝗰𝗸𝗲𝗱 𝘁𝗵𝗲 𝗦𝘁𝗼𝗰𝗸 𝗠𝗮𝗿𝗸𝗲𝘁

𝗙𝗿𝗼𝗺 𝗮 𝗽𝗮𝗽𝗲𝗿𝗯𝗼𝘆 𝘁𝗼 𝗮 𝘀𝘁𝗼𝗰𝗸 𝗺𝗮𝗿𝗸𝗲𝘁 𝗹𝗲𝗴𝗲𝗻𝗱, 𝗢’𝗡𝗲𝗶𝗹 𝘁𝘂𝗿𝗻𝗲𝗱 $𝟱,𝟬𝟬𝟬 𝗶𝗻𝘁𝗼 $𝟮𝟬𝟬,𝟬𝟬𝟬 𝗶𝗻 𝟮𝟲 𝗺𝗼𝗻𝘁𝗵𝘀 𝘂𝘀𝗶𝗻𝗴 𝗮 𝗱𝗮𝘁𝗮-𝗱𝗿𝗶𝘃𝗲𝗻 𝘀𝘆𝘀𝘁𝗲𝗺.

𝗛𝗶𝘀 𝗯𝗼𝗼𝗸 𝗛𝗼𝘄 𝘁𝗼 𝗠𝗮𝗸𝗲 𝗠𝗼𝗻𝗲𝘆 𝗶𝗻 𝗦𝘁𝗼𝗰𝗸𝘀 𝘀𝗵𝗮𝗽𝗲𝗱 𝗺𝗶𝗹𝗹𝗶𝗼𝗻𝘀 𝗼𝗳 𝘁𝗿𝗮𝗱𝗲𝗿𝘀 𝘄𝗼𝗿𝗹𝗱𝘄𝗶𝗱𝗲.

𝗔 𝗯𝗿𝗲𝗮𝗸𝗱𝗼𝘄𝗻 𝗼𝗳 𝗵𝗶𝘀 𝗷𝗼𝘂𝗿𝗻𝗲𝘆, 𝘁𝗿𝗮𝗱𝗶𝗻𝗴 𝘀𝘆𝘀𝘁𝗲𝗺, & 𝗯𝗶𝗴𝗴𝗲𝘀𝘁 𝗹𝗲𝘀𝘀𝗼𝗻𝘀 👇

𝟭/ 𝗧𝗵𝗲 𝗝𝗼𝘂𝗿𝗻𝗲𝘆 𝗼𝗳 𝗪𝗶𝗹𝗹𝗶𝗮𝗺 𝗢’𝗡𝗲𝗶𝗹

🔹 Born in 1933, started as a stockbroker in the 1950s.
🔹 Noticed that the biggest winning stocks had common traits.
🔹 Created a data-driven approach to find high-growth stocks.
🔹 In 1963, at age 30, he became the youngest person to buy a seat on the NYSE!
🔹 Founded Investor’s Business Daily (IBD) to share his research.

This wasn’t luck—it was strategy.

𝟮/ 𝗧𝗵𝗲 𝗖𝗔𝗡𝗦𝗟𝗜𝗠 𝗦𝘁𝗿𝗮𝘁𝗲𝗴𝘆: 𝗛𝗶𝘀 𝗕𝗶𝗴𝗴𝗲𝘀𝘁 𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻

O’Neil developed CANSLIM, a system that finds 10x stocks before they explode.

𝗘𝗮𝗰𝗵 𝗹𝗲𝘁𝘁𝗲𝗿 𝗿𝗲𝗽𝗿𝗲𝘀𝗲𝗻𝘁𝘀 𝗮 𝗸𝗲𝘆 𝗳𝗮𝗰𝘁𝗼𝗿:

🔹 C – Current Earnings Growth
🔹 A – Annual Earnings Growth
🔹 N – New Product, Service, or Market
🔹 S – Supply & Demand
🔹 L – Leader vs. Laggard
🔹 I – Institutional Sponsorship
🔹 M – Market Direction

This system identified Monster Energy, Apple, Tesla, and Nvidia years before they boomed.

Let’s break it down 👇

Read 19 tweets

CA Vivek Khatri

@CaVivekkhatri

Feb 2

“𝗥𝗲𝘀𝗽𝗲𝗰𝘁 𝘁𝗵𝗲 𝗺𝗮𝗿𝗸𝗲𝘁. 𝗕𝘂𝘁 𝗻𝗲𝘃𝗲𝗿 𝗹𝗼𝘀𝗲 𝗰𝗼𝗻𝘃𝗶𝗰𝘁𝗶𝗼𝗻.” – 𝗥.𝗝.

𝗥𝗮𝗸𝗲𝘀𝗵 𝗝𝗵𝘂𝗻𝗷𝗵𝘂𝗻𝘄𝗮𝗹𝗮 𝗹𝗶𝘃𝗲𝗱 𝗯𝘆 𝗽𝗿𝗶𝗻𝗰𝗶𝗽𝗹𝗲𝘀, 𝗻𝗼𝘁 𝗽𝗿𝗲𝗱𝗶𝗰𝘁𝗶𝗼𝗻𝘀.

𝗛𝗲𝗿𝗲 𝗮𝗿𝗲 𝟴 𝗶𝗻𝘃𝗲𝘀𝘁𝗶𝗻𝗴 𝗹𝗲𝘀𝘀𝗼𝗻𝘀 𝗳𝗿𝗼𝗺 𝘁𝗵𝗲 𝗹𝗲𝗴𝗲𝗻𝗱 𝗵𝗶𝗺𝘀𝗲𝗹𝗳.
(#𝟳 𝗶𝘀 𝗮 𝘁𝗵𝗶𝗻𝗸𝗶𝗻𝗴 𝘁𝗼𝗼𝗹, 𝗻𝗼𝘁 𝗷𝘂𝘀𝘁 𝗮 𝘁𝗶𝗽)🧵

𝗜𝗳 𝘁𝗵𝗶𝘀 𝗺𝗮𝗱𝗲 𝘆𝗼𝘂 𝗿𝗲𝗳𝗹𝗲𝗰𝘁 → 𝗟𝗶𝗸𝗲 & 𝗥𝗧 🔄❤️

𝟭. 𝗦𝘁𝗮𝗿𝘁 𝗦𝗺𝗮𝗹𝗹, 𝗗𝗿𝗲𝗮𝗺 𝗕𝗶𝗴

🔹Jhunjhunwala began his journey with just ₹5,000 in 1985.
🔹His belief? Even small capital can multiply if invested wisely.

👉 Lesson: You don’t need big money to start. Consistency and compounding create wealth.

𝟮. 𝗙𝗼𝗹𝗹𝗼𝘄 𝘁𝗵𝗲 𝗡𝘂𝗺𝗯𝗲𝗿𝘀, 𝗡𝗼𝘁 𝘁𝗵𝗲 𝗡𝗼𝗶𝘀𝗲

🔹He often said: “Markets are like women, always unpredictable.”
🔹Instead of chasing trends, he focused on understanding a company’s fundamentals.

👉 Lesson: Ignore market noise. Focus on numbers, earnings, and growth potential.

Read 11 tweets

CA Vivek Khatri

@CaVivekkhatri

Jan 26

Benjamin Graham taught Warren Buffett one formula.

Buffett used it to build $100+ billion.

It's called the 𝗚𝗿𝗮𝗵𝗮𝗺 𝗡𝘂𝗺𝗯𝗲𝗿.

𝗗𝗮𝘆 𝟭𝟵: 𝗧𝗵𝗲 𝗙𝗼𝗿𝗺𝘂𝗹𝗮 𝗧𝗵𝗮𝘁 𝗕𝘂𝗶𝗹𝘁 𝗙𝗼𝗿𝘁𝘂𝗻𝗲𝘀 🧵

💫 𝗜𝗻𝘁𝗿𝗼𝗱𝘂𝗰𝘁𝗶𝗼𝗻:

👉The Graham Number is a figure used to determine the fair value of a stock.

👉Named after Benjamin Graham, the father of value investing, it provides a quick way to assess whether a stock is undervalued or overvalued based on its earnings and book value.

💫𝗙𝗼𝗿𝗺𝘂𝗹𝗮:

Graham Number= √22.5×EPS×BVPS

Where,
- EPS is the Earnings Per Share.
- BVPS is the Book Value Per Share.

Read 11 tweets

CA Vivek Khatri

@CaVivekkhatri

Jan 14

Stock A: PE = 50 (everyone calls it expensive)
Stock B: PE = 12 (everyone calls it cheap)

Stock A doubled in 1 year.
Stock B fell 30%.

𝗛𝗲𝗿𝗲'𝘀 𝘄𝗵𝗮𝘁 𝗣𝗘 𝗥𝗮𝘁𝗶𝗼 𝗮𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝘁𝗲𝗹𝗹𝘀 𝘆𝗼𝘂.
𝗗𝗮𝘆 𝟳 𝗼𝗳 𝗦𝘁𝗼𝗰𝗸 𝗠𝗮𝗿𝗸𝗲𝘁 𝗟𝗲𝗮𝗿𝗻𝗶𝗻𝗴 𝗦𝗲𝗿𝗶𝗲𝘀 🧵

The Price-to-Earnings (P/E) ratio is one of the most widely used metrics in the financial world. It helps investors evaluate whether a stock is overvalued or undervalued compared to its earnings.

This thread delves into the P/E ratio's definition, types, applications, and how legendary investors use it.

1⃣ 𝗗𝗲𝗳𝗶𝗻𝗶𝘁𝗶𝗼𝗻 𝗼𝗳 𝗣/𝗘 𝗥𝗮𝘁𝗶𝗼:

- The Price-to-Earnings (P/E) ratio measures a company's current share price relative to its earnings per share (EPS).

- It indicates how much investors are willing to pay for each dollar of earnings.

Read 23 tweets

CA Vivek Khatri

@CaVivekkhatri

Jan 9

𝗠𝗮𝗿𝗸𝗲𝘁𝘀 𝗿𝗲𝘄𝗮𝗿𝗱 𝗴𝗿𝗼𝘄𝘁𝗵.
𝗩𝗮𝗹𝘂𝗮𝘁𝗶𝗼𝗻𝘀 𝗱𝗲𝗰𝗶𝗱𝗲 𝗿𝗲𝘁𝘂𝗿𝗻𝘀.
𝗢𝗻𝗲 𝗿𝗮𝘁𝗶𝗼 𝗰𝗼𝗻𝗻𝗲𝗰𝘁𝘀 𝗯𝗼𝘁𝗵.

𝗧𝗵𝗮𝘁 𝗿𝗮𝘁𝗶𝗼 𝗶𝘀 𝗣𝗘𝗚.

𝗗𝗮𝘆 𝟮 𝗼𝗳 𝗦𝘁𝗼𝗰𝗸 𝗠𝗮𝗿𝗸𝗲𝘁 𝗟𝗲𝗮𝗿𝗻𝗶𝗻𝗴 𝗦𝗲𝗿𝗶𝗲𝘀.
𝗟𝗲𝘁’𝘀 𝗯𝗿𝗲𝗮𝗸 𝗶𝘁 𝗱𝗼𝘄𝗻 👇

𝗧𝗵𝗲 𝗣𝗿𝗶𝗰𝗲/𝗘𝗮𝗿𝗻𝗶𝗻𝗴𝘀 𝘁𝗼 𝗚𝗿𝗼𝘄𝘁𝗵 (𝗣𝗘𝗚) 𝗿𝗮𝘁𝗶𝗼 is a powerful tool in the arsenal of investors, offering insights into a company's valuation relative to its growth prospects. In this guide, we will delve into every aspect of the PEG ratio, from its definition to its practical application in the Indian stock market.

𝗧𝗵𝗲 𝗧𝗵𝗿𝗲𝗮𝗱 𝗰𝗼𝘃𝗲𝗿𝘀 𝘁𝗵𝗲 𝗳𝗼𝗹𝗹𝗼𝘄𝗶𝗻𝗴 𝗣𝗼𝗶𝗻𝘁𝘀:

1.Definition of PEG Ratio
2.Calculation of PEG Ratio with Example
3.Interpretation of PEG Ratio
4.Benefits of PEG Ratio
5.Limitations of PEG Ratio
6.Application of PEG Ratio in detail
7.Real-World Examples and Case Studies
8.Advanced Consideration with Example
9.Investor Approach of Using PEG Ratio: Warren Buffett and Benjamin Graham
10.Consideration of Market Conditions and Importance of Long-Term Perspective
11.Importance of Fundamental Analysis
12.Monitoring Changes Over Time
13.Comparison with Industry Peers
14.Use of Multiple Valuation Metrics
15.Importance of Long-Term Perspective
16.Risk Management Strategies
17.Conclusion
18.Screener

1⃣ 𝗗𝗲𝗳𝗶𝗻𝗶𝘁𝗶𝗼𝗻 𝗼𝗳 𝗣𝗘𝗚 𝗥𝗮𝘁𝗶𝗼:

- The PEG (Price/Earnings to Growth) ratio is a valuation metric used by investors to assess the relationship between a company's current stock price, its earnings per share (EPS), and its expected earnings growth rate.

- It provides insight into whether a stock is overvalued, undervalued, or fairly valued based on its growth prospects.

Read 23 tweets

CA Vivek Khatri

@CaVivekkhatri

Jan 8

𝗕𝗲𝗳𝗼𝗿𝗲 𝘁𝗵𝗲 𝗺𝗮𝗿𝗸𝗲𝘁 𝗳𝗮𝗹𝗹𝘀...
𝗕𝗲𝗳𝗼𝗿𝗲 𝗼𝗽𝘁𝗶𝗼𝗻𝘀 𝗲𝘅𝗽𝗹𝗼𝗱𝗲…
𝗢𝗻𝗲 𝗻𝘂𝗺𝗯𝗲𝗿 𝘀𝘁𝗮𝗿𝘁𝘀 𝗿𝗶𝘀𝗶𝗻𝗴 𝗾𝘂𝗶𝗲𝘁𝗹𝘆.

𝗧𝗵𝗮𝘁 𝗻𝘂𝗺𝗯𝗲𝗿 𝗶𝘀 𝗜𝗻𝗱𝗶𝗮𝗻 𝗩𝗜𝗫.

𝗗𝗮𝘆 𝟭 𝗼𝗳 𝗦𝘁𝗼𝗰𝗸 𝗠𝗮𝗿𝗸𝗲𝘁 𝗟𝗲𝗮𝗿𝗻𝗶𝗻𝗴 𝗦𝗲𝗿𝗶𝗲𝘀.
𝗟𝗲𝘁’𝘀 𝗯𝗿𝗲𝗮𝗸 𝗶𝘁 𝗱𝗼𝘄𝗻 👇

1️⃣ 𝗪𝗵𝗮𝘁 𝗶𝘀 𝗜𝗻𝗱𝗶𝗮𝗻 𝗩𝗜𝗫?

The Indian VIX measures expected volatility in the Indian stock market. It's based on NIFTY Index Option prices and reflects market volatility expectations over the next 30 days.

2️⃣ 𝗜𝗻𝘁𝗿𝗼𝗱𝘂𝗰𝘁𝗶𝗼𝗻:

- The VIX is often called the "fear gauge" because it rises during market uncertainty.

- Originally introduced by the CBOE for the S&P 500, now adopted by markets worldwide.

Read 14 tweets

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