What KPIs do you look the most when buying a stock?
For me, I like the Price to Earning ratio (P/E) especially when comparing 2 stocks of the same industry. Usually the lower this value is the better the stock is performing.
For example when I was confused between $SNDKB and $MUB , looked at what PE value each was at that instance. 2 weeks ago, Sandisk P/E value was around 18 while MU was around 21 and indeed Sandisk was a better pick that earned me good profit.
But there is no rule of thumb.. Some companies trade at a very low P/E value and they don't do pretty well but usually those picks has lower risks
Also note that usually big companies like $NVDAB trade at a higher P/E value (around 30) because of their high Market Capital which is also fine.
What would you look at? Your thoughts are appreciated:
For me, I like the Price to Earning ratio (P/E) especially when comparing 2 stocks of the same industry. Usually the lower this value is the better the stock is performing.
For example when I was confused between $SNDKB and $MUB , looked at what PE value each was at that instance. 2 weeks ago, Sandisk P/E value was around 18 while MU was around 21 and indeed Sandisk was a better pick that earned me good profit.
But there is no rule of thumb.. Some companies trade at a very low P/E value and they don't do pretty well but usually those picks has lower risks
Also note that usually big companies like $NVDAB trade at a higher P/E value (around 30) because of their high Market Capital which is also fine.
What would you look at? Your thoughts are appreciated:
P/E Ratio
S/E Ratio
Earnings
Estimates
10 Stunde(n) übrig