Fundamentals

CAN SLIM

1. Current Quarterly Earning Per Share over last year same quarter
- look for at least 20%-50% increase
- check with other stock in the same industry

2. Annual Earning per Share increase compared with previous years
- look for at least 25%-50% increase per year over last 5 years

3. New product, new management, new highs

4. Supply demand
- lower amt of outstanding share in market better
- management buying back stock consistently
- reducing debt

5. Leader or Laggard

6.  Institutional Buyer
- buy stock with 3 or more institutional buyers
- but not too many

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1. Current Earning / Share increase over last year same quarter

2. Annual earning / Share increase over last year -

3. Gross margin -

4. Net margin ( net income / revenue) -

5. Sales growth (revenue growth) -

6. Cash to debt ratio

7. Gross margin increase - poems research

To be cont...