David Fourie Stephens Profile picture
Data Scientist | Investor
Aug 14, 2021 12 tweets 2 min read
1/ Technical thread on current ratio.
Current ratio is a liquidity ratio showing the companies ability to deal with short term obligations.

current ratio = current assets / current liabilities.

Generally, a ratio over 1 is preferred as the company has more short-term assets. 2/
It's easy to screen for such companies by using yahoo, tikr, etc.

HOWEVER, not all is what seems and in some cases a current ratio of below 1 is not so bad...

Lets use one of the companies I own $OTIS and another I don't $ADSK
Aug 11, 2021 4 tweets 2 min read
1/
Steps for @EasyEquities investors especially beginners. Not the most popular opinion.
1. If able to contribute <R36K a year, only invest in TFSA.
2. If <R43k a year, invest remaining portion in SA account.
3. If >R43k a year, can also consider investing offshore in US&AUS. 2/
If you don't have a lot of capital investing only in TFSA is not necessarily bad. It's a tax free vehicle, it's less risky than individual stocks and you are bound to outperform given that most investors don't beat the index.
Aug 4, 2021 10 tweets 2 min read
1/ A THREAD ON SHARE PRICES

Important for @EasyEquities investors, especially beginners.

A company's share price can only be used to compare it with itself and even then caution should be taken...

YOU CAN'T COMPARE COMPANY 'A' 5c SHARE PRICE WITH COMPANY 'B' 6c SHARE PRICE. 2/
You can't just blindly look at the share price history of a company without knowing if stock splits occur. $AEG is an example.

People might say "the share price was R20 in 2008 and is now 5c...if it can only go up a bit i'll be rich!" However stock splits occured!!!
Jun 25, 2021 11 tweets 3 min read
Just want to check something, do you guys screen to find dividend stocks on the #JSE for example? Do you want me to show you what is an easy way IMO? 1/
Disclaimer: This method will give the dividend stocks you want in seconds and will take you from 0% to 80%. YOU WILL STILL NEED TO VALIDATE THE DIVIDEND COMPANIES BEFORE INVESTING TO SEE IF THEY STILL PAY, ESPECIALLY FOR SA COMPANIES #DYOR