Teach Me NEETs

>>1392303
Not really, you can use a repeatable valuation method that can work across many stocks to scan them.

i.e. you could put anything below 60-70% intrinsic value on your radar

Then look at management and it's history of decisions as well as review all relevant financials.

Make sure the company is positioned to do well in its industry, has lasting model for success, etc..

Once you ask questions like that, you can find stocks worth owning for the next few years and you should be able to beat the market.

However, don't buy stocks just because they are cheap. A lot of people make this mistake without considering the situation the company is in.

Remember your job is to properly forecast future performance.

>>1392303
Very simple. Just use the néepad formula.

>>1392316
This was very helpful thanks.

>>1392303
juuuuust puttin it out there - whats the point of knowing the true value if the market is behaving irrationally ? just saying ....

so rather than the true value of a specific stock, why not look to divergance in the values between n stocks ( stat arb ) or divergence of a stock fro it's historical performance ( mean reversion/bollinger bands )