some news, page-24

It's good to check the cash flow statement to see that cash flow from operations is sufficient to cover the dividend and any interest payments. Underwritten DRPs can signal that a company wants to retain cash for an acquisition in the coming period, but sometimes they are using that cash to keep the lights on, that is if the cash ever existed.

Another useful thing to check from an accounting perspective is the sustainable growth rate (SGR) for a stock, which is the maximum rate that a company can grow its earnings without blowing out its debt. A handy little calculation for reality checking your new found growth stocks against.