"Some guys read Playboy" ... Warren Buffet reads Annual Reports and 10Ks ... Watch the video for the straightforward system he uses to be successful ...
First and foremost, before you invest, you need to decide what a good COMPANY is. You do this by looking at the FUNDAMENTALS of a company. It's like "looking under the hood" before buying a car. It is both an art and a science and you get better in time. Warren Buffet famously said that he likes curling up with Annual Reports when he goes to bed.
So, let's start by looking at a company's Balance Sheet - you will see where to find these next. First, click here for a simple article on spotting a strong or weak balance sheet.
One Minute! What's an Asset? What's a Liability? What's Equity?
Choose an annual report from the first link OR search a 10K Report from the second link. Look at the first page for number of shares issued. Go to Financial Statements (Assets and Liabilities) and look at each category (including "intangibles" such as Goodwill).
For more detailed readings (all good), see these articles.
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