The Six Important Financial Parameters

1.  EPS
2.  Operating Cash Flows
3.  Net Sales
4.  Book Value per Share (BVPS)
5.  Return on Invested Capital (ROIC)
6.  Debt to Net Profit Ratio


Gold Standards
1 - 4 :  Growing at greater than 12% per year for 10 years
5.  >12% every year
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Past Performance
Profit Margins (OPM & NPM)
Debt/Equity ratio
ROE
Working Capital Management

Having established the company's solid financial track record, now look at their competitive strength.