Wednesday, 5 August 2009

When to buy a stock?

In trying to decide when to buy a stock, an investor has to take into consideration several factors:-

  1. How does the present price compare with the historical prices?
  2. How does the price trend compare with its earnings and dividend trends?
  3. Is the current EPS and/or DPS unusually high or low?
  4. At the current price, how do the PER and DY compare with the historical PER and DY ranges?
  5. Does the present price look reasonable compared with the historical price or does it look too high or too low?


Ref:
How to use the Stock Performance Guide (SPG)
Stock Performance Guide by Dynaquest Sdn. Bhd.

No comments:

Post a Comment