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Here's a homework sheet,if you watch "Mad Money,When cramer says "Do The Homework",this is what he means!And please,when u have completed the sheet,please copy and paste ur homework here.Thanks!!!
STEP ONE: Find out how the company makes its money.
How did it make its money last year?
How did it make money last quarter?
Are these high-or low-quality earnings?
STEP TWO: What sector does the company belong to and how has that sector performed?
Sector:
Sector performance over the last three, six, and twelve months:
What forces tend to move stocks in this sector?
STEP THREE: How has the stock performed?
Last year:
Last six months:
Last three months:
Last month:
Last week:
STEP FOUR: What do the comparisons tell you?
Does this company face any threatening competition:
What is the P\E of this stock:
What is the average P\E of its competitors:
What is the PEG rate of this stock:
What is the average PEG rate of its competitors:
How much cheaper or more expensive is this stock compared to its peers:
Based on P\E:
Based on PEG
STEP FIVE: Can the stock survive its balance sheet?
How much debt does this company have:
How much debt does it have due this year:
How much free cash flow did the company have last year:
Will this company generate enough cash flow to pay its debts this year:
Can it pay its next year:
Will it have to sell assets to pay its debts in the near future:
STEP SIX: Does this stock look like a good investment in light of your homework:
STEP ONE: Find out how the company makes its money.
How did it make its money last year?
How did it make money last quarter?
Are these high-or low-quality earnings?
STEP TWO: What sector does the company belong to and how has that sector performed?
Sector:
Sector performance over the last three, six, and twelve months:
What forces tend to move stocks in this sector?
STEP THREE: How has the stock performed?
Last year:
Last six months:
Last three months:
Last month:
Last week:
STEP FOUR: What do the comparisons tell you?
Does this company face any threatening competition:
What is the P\E of this stock:
What is the average P\E of its competitors:
What is the PEG rate of this stock:
What is the average PEG rate of its competitors:
How much cheaper or more expensive is this stock compared to its peers:
Based on P\E:
Based on PEG
STEP FIVE: Can the stock survive its balance sheet?
How much debt does this company have:
How much debt does it have due this year:
How much free cash flow did the company have last year:
Will this company generate enough cash flow to pay its debts this year:
Can it pay its next year:
Will it have to sell assets to pay its debts in the near future:
STEP SIX: Does this stock look like a good investment in light of your homework: