Hello.
I am learning to be a long term investor. One of the ideas that I follow to get a good lead on a potential gem is to compare with peers.
Lets say you think paints sector is on depressed mood. So its a good time to pick a paint related company.
Which is the best one? I Compare against sector and industry median.
Is the company’s median ROCE higher over its peers most of the time? cashflow to revenue ratio better or bad? How does the taxes look like? And more similar line of questions.
I used to do it in code, but I made a tool which you can use for free.
Its still under construction so expect bugs!
If you go throgh the scanner, it gives you all the required info to invest judiciously. So don’t waste your time in creating a new tool. Investment is all about investing in a company which has successfully generated revenue year on year with certain growth in such revenue year on year plus EBITDA is above 20% of the revenue and it is growing atleast 10% year on year. Make sure the promoter’s equity is in excess of 50% and the debt equity is less than 1. If you ensure these factors, I am sure you will be accumulating wealth at a good pace going forward. All the best in your investment journey.
Looks like something broke. I am sorry.
I will fix this by 2nd. Busy with my brother’s marriage.
Apologies again. And thank you for using it.
I will tag you once fixed.
You are right. Or maybe not. The only way to find out is by going through the path.
I am a builder. I love building things. So creating it is not a waste of time for me. Maybe it turns out useless. And a failure. Most things I have built are failures.
But that conclusion is only certain once it has been experienced.
Thank you for your insight and your time. I really appreciate it.
