How to pick the right stock?

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  #1  
Old 26th January 2007, 04:42 PM
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Default How to pick the right stock?



Hi
I was wondering how does one go about picking the right stocks?
One is technically and the other one is fundamentally.
Technically its quite easy, seeing the graph, what about fundamentally?
Is there some kind of scanner? And what are the things it scans for? PE...

Can anyone enlighten me???
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  #2  
Old 28th February 2007, 08:11 PM
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Thumbs up Re: How to pick the right stock?

there are many ways to pick a right stock. some are:
1. u go for a company whose p/e ratio is less. for this, u can buy a magazine like dalal street journal, etc and take their table where all the companies are classified industrywise. this will help u to see the average indl p/e and whichever co is having a lesser p/e u can choose the same
2. a company with consistent results but whose market value is less than the book value, like canfin homes, kothari products, suraj diamonds, etc
3. u can buy shares of the companies who show a quantum jump in results
(watch out quarterly results). u can see economic times, business line, etc., particularly when the quarterly results are being declared.
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  #3  
Old 1st March 2007, 01:21 PM
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Default Re: How to pick the right stock?

just do not buy a company because it has low p/e .you must also check the companys future prospect and then decide.
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  #4  
Old 1st March 2007, 09:03 PM
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CreditViolet will become famous soon enough
Default Re: How to pick the right stock?

Quote:
Originally Posted by iwinux View Post
Technically its quite easy, seeing the graph
Wow..Never knew that


CV
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  #5  
Old 1st March 2007, 09:39 PM
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uasish will become famous soon enough
Default Re: How to pick the right stock?

iwinux,
Go to ICICI Dierct.com,there are different module of search criteria ,study those criterias, you may get an idea of how to pick stocks based on fundamental analysis.Those are basics and age old proven methods.Then you can venture for latest methods,but 1st go thru the basics.

Asish
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  #6  
Old 1st March 2007, 10:24 PM
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milind857 is on a distinguished road
Default Re: How to pick the right stock?

Quote:
Originally Posted by CreditViolet View Post
Wow..Never knew that


CV
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  #7  
Old 4th March 2007, 06:14 PM
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Default Re: How to pick the right stock?

yes, p/e is an indicator but it becomes meaningful only if you compare that with the benchmark p/e of the industry and its rivals .. for e.g you can compare p/e of icici bank with p/e of pvt. banking stocks and hdfc bank.
YOY incremental increase in operating profit is a critical indicator aswell.
More importantly growth in its market share , its management , its asset size ( indicator of potential future earnings) are all key factors.
Fundamental analysis tells you "what stock to buy " but technicals tell you " when to buy it " . Pls combine them in your system for maximizing profits and minimizing losses.
Never go by pure technical analysis alone because in a bull market ,the market rises despite resistance points and in a bear market it falls despite support points.
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  #8  
Old 28th July 2007, 04:41 PM
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Default Re: How to pick the right stock?

How i calculate industry contian stocks P/E. Which website have this facility.
How i calculate this ratio. Kindly give some example.
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  #9  
Old 11th August 2007, 05:28 PM
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Default Re: How to pick the right stock?

Ithink We can get the details from our broker and visit some sites like www.Moneycontrol.com
www.icicidirect.com
www.capitalmarket.com
etc.....


and come to conclusion to what to buy,


This is purely my opinion,

Regard
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  #10  
Old 11th August 2007, 06:20 PM
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gones.s is on a distinguished road
Default Re: How to pick the right stock?

always do ur own analysis before venturing
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