
FA - Quantitative Analysis
In today market, there are not many asset classes that have share price falls below the Net Asset Value "NAV". In general, they are classified as "Under Value" stock. Interestingly, this asset category stock will generate a dividend. The challenge of today world is to select investment that at least beat the inflation.
If you are planning to apply Benjamin Graham's value investment, they are definitely not our selection choice. As it highlights Value investment at asset approach needs to be at least 66% of NAV.
FA - Qualitative Analysis
This is warren buffet's Qualitative Analysis approach, you will need to read and understand their business. In fact, this is the hardest for anyone as you need to be an industry expert and understand the business itself.
FA - Entry and Exit Strategy
Before you use any FA to enter, it's important that you understand what stock valuation you are using. Income, Dividend, Earning or Crisis buying. For this example, we will use Asset Valuation as entry. Logically, it makes sense to enter as long as it is "under-value". This "under value" stock is already a discount to you, if you are planning to hold long term.
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