SmallCap picking
Ideal For – High Risk Takers Investor
RESEARCH PROCESS
1. Fundamental: Flagship of this category
Business Model
Unique business model with low competitive pressure.
Management Analysis
Focus on growth guidance and future outlook backed by a proven track record.
High Growth
No High growth, outperforming the industry average
Corporate governance
Sound corporate governance is a key factor in this high-risk segment.
2. Valuation : Buy a strong business at a fair price
Justified Valuation:
Avoid overvalued stocks; focus on reasonable valuations.
Forward Valuation :
Evaluate future potential by analyzing forward valuation based on guidance.
Downside Risk
Assessment Avoid stocks with a history of corrections exceeding 20%.
Go with Uptrend
Focus on clear uptrends and avoid early reversals.
Performance
Should consistently outperform the industry over time.