How to research investments effectively

//A Thread//

Learn the language of Finance

If you look at a balance sheet or cash flow statement

You need to be able to understand the words you're reading

It can look like a different language sometimes

because it is

https://t.co/Ccg1I4Ah7Y is a great resource
Look at ALL statements:

There are three of them and my issue was that i only looked at one ☝🏾

So when you're researching investments

Always look at:

- The income statement
- The balance sheet
- The cash flow statement
Understand formulas and how to apply them

Here's a list of formulas you will need:

- PE Ratio
- PEG Ratio
- Margin of Safety
- Payout ratio
- EGR

Learning at least these terms will give you a better understanding of a company's intrinsic value
A Valuation Method

Here are two different methods you can use:

- Discounted Cash flow
- Dividend discount model

This was the hardest part for me.

Finding out that i needed this in first place then how to use it
Here's a list of websites i use to do this research

- Yahoo finance
- Investopedia
- Macrotrends
- The company's website
- TD Ameritrade

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And here they are...

THE WINNERS OF THE 24 HOUR STARTUP CHALLENGE

Remember, this money is just fun. If you launched a product (or even attempted a launch) - you did something worth MUCH more than $1,000.

#24hrstartup

The winners 👇

#10

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A great product for a great cause.

Congrats Chris on winning $250!


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Built by @DaltonEdwards, it's a platform for combatting conversation overload. This product was also coded exclusively from an iPad 😲

Dalton is a beast. I'm so excited he placed in the top 10.


#7

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Built by @jesswallaceuk, the project is focused on highlighting the experience of developers and people learning to code.

I wish this existed when I learned to code! Congrats on $250!!