What key figures are most importnant?

Question

What key figures do you find most important whan making investments in stocks, and why?

different types of liquidity, P/E ratios, PEG ratio, ROE, etc...

Answer 1

it depends on the stock you are trying to analyze.  You use different methods for different stocks.

Answer 2

Here is an excerpt from an article on our website, InvestmentCoaching.net:

"The formula for our investment models is proprietary. Basically, this is how it works. First, they determine the long-term direction of the Nasdaq Composite Index (the "Market"). Next, it adjusts for the intermediate-term condition, and finally adds momentum, volume and relative strength. The beauty of this methodology is that it is 100% mechanical, completely unemotional and very easy to use.

The Active Investment Model generates Buy and Sell signals in one-third increments. These signals are in direct proportion to the pace and direction of the market. It averages a little more than two signal changes per year and in some years no signal changes at all. We did not set out to have our Investment Models beat the "Market". They were designed to keep our clients out of those ugly long Bear Markets that rob you of up to a third of your capital. They were designed to let you sleep at night. Oh, and by the way, it did beat the market."

If you would like to read the rest of the article, you can find it by clicking on the link in the source box. Hope that helps. Take care.