TABISH NADEEM Profile picture
Aug 24 8 tweets 1 min read Read on X
The Kaizen Stocks
Applying the Japanese philosophy of Kaizen—continuous incremental improvement—to stocks.

Let’s explore 👇
Q. What is Kaizen?
A. A Japanese business philosophy focused on continuous improvement through small, incremental changes → leading to significant positive results.

Kai = Change
Zen = Good
➡️ Meaning “Change for the Better.”
How does this apply to stocks?
We look for consistent and incremental improvement across fundamentals—quarter after quarter, year after year.
Category 1: Quarterly Kaizen 📈
Stocks where:

Sales, Profits, Margins → Q4 > Q3 > Q2 > Q1

Current Year > Previous Year (OCF included)

In short: Every quarter AND every year better than the last.
Stocks qualifying under Quarterly Kaizen:

Shaily Engg.

Caplin Point

Frontier Spr.
Category 2: Decade Kaizen 🏆
Incremental Stocks where for the last 10+ years every year:

Continuous Sales Growth CAGR > 10%

Continuous Profit Growth CAGR > 15%

Continuous Avg. Operating Margin > 15%

Consistently rising Operating Cash Flow
Only 1 stock qualified under Decade Kaizen:
👉 BLS International Ltd
N.B. The stocks are not investment advice at all. Please do your own due diligence

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