roe - on its own, it can mislead badly, page-8

  1. 10,917 Posts.
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    Great post.The five key areas are profit,balance sheet,cash flow and number of shares on issue and market share price.Once you are happy with the profit and it takes some semblance to the increase in cash at bank (cash flow) then compare and get the factor EPS.Check balance sheet get NTA and net assets then compare to market price.Then throw in product and sentiment.If it was that easy we would all be billionaires I guess.
 
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