March 17, 2013

Momentum Investing

Buy stocks which fulfill these criteria:

1. Stock is from sector/industry in rotation
2. Strong earnings growth and analyst rating
- earnings growth > 15% over the last 3-5 years
- earnings growth forecast > SP500 & industry growth over the next 3-5 years
-history of earnings surprise
3. positive insider and institutional ownership
4. strong sales growth and high ROE
5. bullish market sentiment
6. stock is near or at buy point (breakout)
7. positive technical indicators


(from Adam Khoo's book)

No comments:

Post a Comment