Relative PE – Time Series Plot

THE HINDU’s Website Design at Foreign Source

Today’s discussion is something different than the usual investing related topics. It is about announcement of new online edition of The Hindu magazine. This newspaper is about 130 year old company and is considered as one of the best in breed news paper in the country. Attached is the photo image of the front web page which shows the announcement for new beta website. One aspect that I observed and it stood out was about who was involved in designing this new website.

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Shortlisting Five Companies for Potential Long Term Investment Analysis

to-do-listLast week, I discussed my stock screening process and four matrices that I use for short listing the company for further evaluations. One of the traits of any successful investor (or for that matter even a trader) is that they keep a watch list of stocks and monitor its performance. Since the market has run up and we investors believe that stocks are overpriced, it is time to prepare our watch list. In addition, after establishing the watch list, it is also important to determine what would be the price you would be willing to pay to buy it.

Keeping with this thought process; I looked at few stocks and applied my screening process. I have short listed following five companies that I believe warrant further details analysis in the context of my buying objectives.  Continue reading rest of this article…

Carnival of Indian Stocks – October 31, 2009

Welcome to Carnival of Indian Stocks. This edition of the carnival includes 13 articles for fellow bloggers. Some of the articles presented here may be contrary to the topics I discuss on this blog, however, it provides a view from a different window. I hope you enjoy reading some of the diverse set of articles as much as I did.


That concludes this edition. If you would like your best article to be included here, then submit your blog article to the next edition of Carnival of Indian Stocks. If any blogger(s) is interested in hosting this carnival, then please contact me.

Stock Pre-Screening Process and Metrics

screenI take a considerable amount of time to perform a thorough quantitative and qualitative evaluation for any stock or the company. I believe it is necessary since I am investing for long haul. How does a one month or two month matter when I am attempting to visualize for next 10 years or more. Yes, I agree delaying couple of months will make me miss the window of opportunity or as the stock investing lingo says, missing the multi-bagger.

I screen out many companies before I decide to spend long hours looking into its numbers and future direction. I keep my screening process very simple. The parameters I use for screening are as follows

Operating cash flow: A consistently positive and growing operational cash flow shows the strength of its products and demand in market place. In addition, to a certain extent, it also demonstrates management’s ability to manage the generated cash.

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Suggested Reading – October 26, 2009

Blogosphere is an interesting place where you find various bloggers expressing their viewpoints. I am listing some of the articles that I enjoyed reading.

These are some diverse set of articles from fellow bloggers and business magazines. I hope you enjoy reading all or some of these interesting posts.

Hawkins Cooker: Stock for Long Term Investment

hawkins logoHawkins Cooker Limited (HAWKINCOOK) is India’s second largest company engaged in pressure cookers and cookwares. The produces a wide range of other house hold and commercial cooking utensils. Its brands include Hawkins, Futura, and Miss Mary.

The key aspects that I like about Hawkins is sells in domestic markets (does not depend upon what happens internationally), low debt, and focus of controlled growth. It is well positioned to cash on growth in disposable income from growing Indian middle class.

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