Aug 13, 2011

Return on Equity (ROE)

The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested.

Returns on Equity (ROE) = Net Profit/Shareholder's Equit


EPS Growth Rate (EPS GR)
3. Gearing Ratio
4. Net Profit Margin
Intrinsic Value
a stock is really worth - as opposed to the value at which it is being traded in the marketplace
If intrinsic value > current share price = undervalue make sense to buy


& Fair Value
6. Dividend Yield & Dividend Policy
7. Good Management & Competitive Advantage

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