Fundamental Analysis

Valuing a stock doesn’t have to take hours of research or complex financial models. This article outlines a quick valuation method that allows investors to value a stock in minutes, helping investors to filter through stock ideas faster. This framework can help you easily estimate a stock’s fair value with surprising accuracy, but it doesn’t …

Legendary investor Peter Lynch once said, “Selling your winners and holding your losers is like cutting the flowers and watering the weeds.” Typically, long-term investors should sell their stocks when the fundamentals call for it, not based on their emotions. This guide walks through the best reasons to sell a stock and how you can …

Individual small-cap stocks can oftentimes outperform their large-cap counterparts because small-cap companies tend to be able to grow faster while receiving less analyst coverage. This article covers when small-cap stocks tend to perform well, why they can be good investments, and the key risks investors should consider before adding small-cap stocks to their portfolio. Table …

Small-cap stocks have created some of the biggest winners in stock market history. Legendary investor Peter Lynch focused on finding under-the-radar small-cap stocks to achieve outsized returns because he believed, “The size of a company has a lot to do with how much money you’re going to make on it.” Unlike large-cap stocks, small-caps tend …

In the 1950s and 60s, Warren Buffett searched for stock ideas by reading the 26,000-page Moody’s Manual cover to cover. This gave him an edge because he was able to find great stocks that most investors overlooked. Today, we can find great ideas faster with stock screeners. Stock screeners let us filter the entire global …

Just because a stock looks cheap doesn’t necessarily mean it’s a bargain. Some stocks look undervalued, but that’s because they’re actually poor businesses that are destined to fail. These stocks are called value traps because they can draw value investors in, but they end up being a trap. This article covers five major red flags …