Invest In Yourself

F ree cash flow is one of the most important topics to evaluate a company, many of you are involved in the fundamental analysis of a company, then you must have heard of this word. However, those people who are unfamiliar with the term free cash flow, this is a mystery for them. In this post, we will discuss a wide range of free cash flows and will try to know why it is important to evaluate when researching the company. Let's try to understand this with the help of the following point. This post of mine is also important for those who want to learn to evaluate the stock. 1. What is Free Cash Flow (FCF) ? Free cash flow is cash which is available to all the investors of the company. It represents the additional cash that a company is capable of generating the necessary funds for its operation or after expanding its asset base. Here you need to understand that not all income is equal to cash. If a company is earning, it does not mean that it can spend all the incom

I started screening for a quality business, which I understand and there are long-term competitive advantages and possibilities to generate free cash flow. In my mind, I decided to focus on the automotive industry in India because it is going through a recession and has been in the discussion for bad reasons (high interest rates, inflation, low sales, etc.). It is not uncommon to find a less valuable and reasonably strong business in an area that is undergoing temporary recession or recession. I restrict my screening to the automobile sector. Also, within the automobile area, I decided to concentrate or limit on screening for commercial automotive manufacturer. My screening process within the commercial vehicle manufacturer company area had been narrowed to those companies who have earned a return on equity of 15% higher, with internal accretion (lower credit level and negligible equity dilution) And the sound has increased through working capital management. The scre

T hese days, despite the price of the good stock, there is no doubt that we are going through one of the most indefinite times to invest. Before discussing the rules of investing in the stock, let me clarify that I work and follow these rules, I am not asking you to follow them, my purpose is to tell you about them. 1. I'm not afraid of the fall. The fall in the stock market is near the corner, but no one can predict the decline, No one can tell this, when it will happen and how much hurt it will be. I do not sit in the hope that the market will fall, but I keep myself prepared for it. 2. I prefer to buy bad stock, not bad business. If I choose a bad business and hope to earn from it, then it will be wrong , Even if I buy it cheaply. I consider that business as good, whose management is honest and  well behaved in the past, whose products are well-known and have ability reach  to every person. Businesses whose operations have been operating for the past 20 years, wh

I n the Indian stock market, a person can make direct equity investment which can be a rewarding investment for him, as well as the risk of loss in direct equity investment is very high. People who maintain a balance in risk and return dealing with in direct equity investment, they are the winners. But how risk and reward can be balanced, the risk associated with direct equity investment comes with the complexity of information. When buying a stock, the most important criteria for evaluating a company is Return On equity. How important is this parameter, a good investor does not invest without its help, millions of people in India invest in stocks, but only a few people know how to read the balance sheet. Apart from direct investment, mutual funds are such products that have been created for the common man. In direct equity, timing the market is very important, but timing market is not easy. The correct time of market is an essential trait that should be done while dealing with

W hen we need extra money for our special needs, we take money by mortgaging one of our precious things. Similarly, in the stock market when the company needs extra funds their promoters pledged their shares to fulfil business operation.   Before investing in a company, checking the number of shares pledged by the promoters is very important factor ,which most investors ignored. In a company high pledged of shares may be a cause of concern for investors. We will discuss here that what is pledging of shares and what are its disadvantage to the shareholders? 1. What is pledging of shares ? In simple words, the pledging of shares means that borrowing money against the shares available that one holds. This is a way in which the promoters are able to obtain loans by pledging their shares for their personal or business operation. Pledging of shares can be used for various needs, such as to meet the requirements of money, for new acquisitions, etc. 2. Why promoters pledged t

T he stock market looks at a golden spot to make money. There are  popular stories of many investors in India and abroad, who have made good money by investing in the stock market. However, there are some bitter truths related to the stock market, on which market analysts and investors refrain from discussing. In this post I am going to discuss with you about the ugly truth associated with the stock market. 1.Even the blue chip stocks can’t give guaranteed return. Even 'bluest of blue chips' can 'perform less' and 'not' gives a return for a sustained long term period of time. There is risk involved in any stock you invest in, no matter how safe it can be. There are many reasons which can affect the company's share price. For example, domestic and global, company fundamentals, interest rates, social and political reasons, and other reasons too. If someone is promising to give you return with guarantees then either he is not experienced or he is ly

I 've heard about some general investment statements / advice from people often in the last few years, especially when the price of a stock is falling in the phases. Some general statements spoken by investors. “Before you invest, you should be aware of your risk appetite." “The market is currently at risk, can go down to 10%, invest later. " “I am risk adverse investor." When it comes to investing in the stock market, everyone talks about the risk. But nobody knows the real meaning of the risk, we can feel the earth under our feet. Dear investors, the risk is not a number which you can measure, such as a 40% decline in the market or 20% of your favourite stock is not risk. What does risk really mean? According to Warren Buffett, the famous investor, there is a permanent loss exposure on the stock you hold or the investment you have made is risk. Permanent losses on your investment capital occur when your investment business stock has been closed fo

S elling stock due to fear is one of the most harmful investment decisions we make. Apart from this, there are some investment restructuring strategies that you can use in the market volatility. It’s important to know what investments you own, Especially if you are managing some or all of your investments without professional assistance, then this  is particularly important during the market volatility. It has been a decade since the decline in the last major market, from which you can make 10 years old and about 10 years of retirement. Do you know whether your investments are still aligned with your future income needs and investment objectives? If your answer is no, then you should see your statement again. Re-evaluate your stock holdings or contact your financial advisor. Bonds are usually bought to generate income or to give stability to their portfolio. However, not all bonds are alike. If market volatility increases, then corporate and high yield bonds may be the main

H ave you ever considered that your bank account is getting 13,08,000 rupees per year without doing nothing? Yes, you read well. Yes, this is possible. In this post, we are going to discuss how a knowledgeable investor can earn 13,08,000 rupees per annum by purchasing good company's stock at a decent price and keeping it with him for a long period of time. Now, let's do the analysis of the bonuses and splits given by Infosys. 1993: 100 shares 1994: 200 shares (1: 1 bonus on 30/06/1994) 1997: 400 shares (1: 1 bonus on 18/06/1997) 1999: 800 shares (1: 1 bonus on 25/01/1999) 1999: 1,600 shares (2: 1 divided by 30/11/1999) 2004: 6,400 shares (13/4/2004 to 3: 1 bonus) 2006: 12,800 shares (1: 1 bonus on 14/4/2006) 2014: 25,600 shares (1: 1 bonus on 2014/2014) 2015: 51,200 shares (1: 1 bonus on 24/4/2015) 2018: 10,2400 shares (1:1 bonus on 09/04/2018) Let's assume that you bought 100 shares of Infosys in 1993. Your initial investment w

I nternet is a free medium of information, where you can get any kind of information easily accessible. However, as the count increases, it's really impossible to remember so many websites that we visit in one day. Luckily, for Indian investors, there are some websites that you can easily remember, these websites provide you important information about the market, keeping you in constant awareness, and help you to show what is happening in the market.  In this post, I am going to tell you about some of the popular websites that every investor should know. 1. Moneycontrol.com MoneyControl is definitely the most popular website among Indian stock investors. You can get every news related to the Indian stock market from this website. Such as market news, trends, chart information, mutual fund, currency news, etc. Here you can find a company's fundamental data with a technical indicator (including candlestick pattern) on moneycontrol. MoneyControl website provides a

H ello investors, in today's post, we will discuss how we can track our stock portfolio in a simple and effective manner. Here, We are not going to discuss how we track our profits or how much money we made from the market. There are many such websites and apps that can help you track profit and loss. Here, We are going to discuss how to monitor the performance of the holding stock. How is the company doing it, is the company's performance improving or decreasing? My main objective of this post is to explain you monitoring the company’s performance and growth. It is important to make a good stock portfolio, likewise, monitoring the performance of holding stock in stock portfolio is equally important. So let's study how we monitor our stock portfolio. 1. Keep an eye on important news about the company. Keep update yourself by the important news related to the company and the industry. There are many factors like domestic factors (government news, pol

S uch youngsters who is at his twenty years of age can start investing in the stock market soon. But many youngsters think that why so soon join the intricate world of the stock market. Most youngsters believe that either it will be too quick or they do not have much money to invest in the age of 20. However, both of these beliefs are wrong. When you are at the age of 20, this is the best time to invest in the stock market. Why? Let's find out. 1. Stock Markets gives best return. Do you know about this interesting fact, if your parents had invested Rs 10,000 in a company like Wipro or Infosys in 1990s, then in today's situation, that investment would be worth millions. Apart from these, other common stocks like Eicher Motor, Symphony, Page Industries, has given even better returns than Wipro and Infosys. Historically, the stock market has given better returns than other investment options over the long term. If you also keep the amazing Shears with patience for a lon

D  iwali is festival of light celebrated all over India, Diwali is a special festival in many ways, but in terms of business, this festival has its own importance. It is also called the festival of happiness prosperity, every person of India celebrates it with great fanfare. Business world see this festival as a big opportunity, because on this occasion several companies offer huge discounts to increase the sale of their products. To entice customers, companies come with a variety of attractive offers on Diwali. On this Diwali which sector will the investor remain focused, let's see. 1. Auto Sector Auto Sector is the most focused sector on Diwali, which is also the favourite sector for investors with an investment point of view. All companies come with good discounted offers to increase their auto sales. We can see a lot of increase in auto sales in Diwali. According to a report, auto sales on Diwali are almost double than normal days. Therefore, keeping in view the festi

F undamental analysis of company shares is used to find a company financial health. Before making long-term investments in a stock, investors are required to do a proper analysis of that company. Technical analysis is a good idea to know intraday and short term entry and exit times in a stock. In addition, if you want to find a multi bagger share for your investment, then the fundamental analysis is the most appropriate tool you can utilise. In this post, I am going to explain to you how the basic analysis of a stock is done. Here I will show the guideline which if someone follows with discipline, then they can simply choose the fundamentally strong company. In order to analyse the fundamental of a company in the Indian stock market, you have to follow 5 steps. 1. Understand Business of a Company. Before choosing a company for investing, it is more important to understand the business of that company. The company's website is a good resource to gain business information f

H ere are some silly investment rules, even fools can follow them without making mistakes. These investment rules will be silly rules in the real sense. How many people will agree with the fact that investment can be done in a stupid manner. I think only some small minorities will accept this fact. The investment has been tagged in something that is complicated. But this trend is not right. Even  foolish people like me can invest money without any mistake, yes it is possible. Even the owner of the investment says that the rules of investment are simple. Knowing just a few tricks, someone can practice them efficiently. The advantage of knowing these rules is that they help in avoiding investing mistakes. Due to bad decisions, there are major losses happen in investment. These bad decisions are taken because there is a lack of knowledge. The objective of this article is not to give you an investment strategy, but give to develop the ability to make investment decisions wisely. In

T he word ‘value' has been used so much that it has become an example of almost the worst type of corporates, especially the phrase 'plus value'. This is unfortunate because there is a definite meaning in investing this word. It has a history, a method, a well-defined goal and a tremendous track record. There are some harmful side effects to think about people when applied for a investing. However, overcoming these trends can be very beneficial, which is 'value investing'. Two contradictory motions define how people spend their money. One is to buy expensive things to signal your property and position, and the other is to get a good deal. Ideally, anybody wants to be present together in both resolutions. We would like status-symbol properties that usually cost a lot, but we want them to be a good deal for us. It seems like an impossible deal, but then, the fun of having a deal is maximum when it is good. It is a natural technique to use the value of someth

M y today's post is centered on traders, when I started my stock market career as a trader I also suffer such kind of problem, today I am going to discuss such problems with you. Which always comes to my mind, and I believe that these problems will always come in the mind of every trader. And the point of fun is that when the trader suffers from these problems, he feels like these problems are happening only with him. While this does not happen. When a trader works in front of the screen, often these questions appear in front of him. Even when I started working in the stock market, I felt like it was happening only with me. But when I went ahead in this area, I realized that it is not only happening with me but also with everyone, and that which is happening with everyone can not be coincidence. So if this is not a coincidence, then it means that there is something quiet behind it, which is important to know. So let's know about the tragedies of a trader with whom h

T  he screener.in is a very awesome website, to conduct a fundamental analysis of a company. Using  screener.in to conduct a fundamental analysis of the company is very useful for investors like me. In fact, the financial reports presented by the Screener website are easy to adapt and easy to use. The screener is a wonderful website to do fundamental analysis of the company. I use the Screener.in website to read and understand the financial figures of a company. When you search for a stock in the stock search area, you will find very important information related to that company stock in the search results like company overview, chart analysis, peer comparison, quarterly result, profit and loss , balance sheet etc. The most important part about the Screener website is that you can read a company's financial statement for the last 10 years in one place. The picture below presents important information about Ashok Leyland Company.