Monday, March 29, 2010

Choosing the Right Profitable Stocks

Are you finding it hard to choose the right stocks in today's stock market? If so, you now have the opportunity to make realistic profit gains from one of the top penny stock traders.
From humble beginnings and lots of research, Mr. James Connelly has discovered several keys to develop a proven technique which identifies winning stocks by understanding how the Psychological Support Level s affect specifics variables of profitable stocks.

When Mr. Connelly initially began using his technique, his average gain was 28% on over 11 trades. This would definitely be a great supplement income for part-time traders of maybe even replace incomes of others.

Overtime Mr. Connelly has tweaked his technique and now he has had an average gain of 45% from 10 Stocks over a 30 day time period. What changes could you make to your life if you could achieve the same? If fact, even with say a 20% gains, you could have profits that could set you financially independent over a 6 Month Period, this could be achieved in even shorter timeframes.

Now we all know the pursuit of money alone is not healthy. However, it's the options that smart money endows on us that gives us true happiness. This maybe your happiness is in the form of helping other family members, providing a college education for our children, no worries about the costs of healthcare etc. I encourage you to take control of your financial future and thus the options for improving your quality of life and that of others.

If you want to take control of your financial future and have the opportunity to use Mr. James Connelly's techniques, please click: [http://smartmoneyonline.info]HERE

Article Source: [http://EzineArticles.com/?Choosing-the-Right-Profitable-Stocks&id=3997701] Choosing the Right Profitable Stocks

1 comment:

  1. I have a website where I research stocks under five dollars. I have many years of experience with these type of stocks. I find that the best measurement of how undervalued a stock is is the price to sales ratio of a companies stock. The price to sales ratio is the market cap of a companies stock compared to the amount of sales the company does on an annual bases. A good example of a company with a low price to sales ratio is carrols restaurant group the company has a market cap of just 240 million dollars but does over 800 million dollars in annual sales the company is solidly profitable. In other words the price that the market is valuing the company at is 240 million dollars this is only about one fourth of what the company does in annual sales 800 million dollars. The stock currently trades at about 11 collars a share under the symbol {TAST} I think the stock could get to 55.00 dollars a share over the next five years. I base this on the current net profit margin of around 1.75% or 14 million dollars on sales of 800 hundred million dollars. If the companies sales were to increase by 50% or 400 million dollars to 1.2 billion dollars over the next five years. And if the companies net profit margin were to expand from 1.75% to 5% or 60 million dollars over the next five years. Than if the companies stock increased in price to where it was trading at a price earnings ratio of 20 this would put the stock at 55 dollars a share. This may seem to be a somewhat optimistic scenario but not really that much. There are many stocks that trade at much higher price earnings ratios when they become popular than 20 times earnings. I find that companies like carrols restaurant group are very rare. I also find that companies that have low price to sales ratios that are profitable or of decent quality tend to become takeover targets or get taken private by private equity firms or the management of the company or other companies in the same business. A good example of a popular stock with a very high price earnings ratios is whole foods market it trades at 35 times annual earnings. If anyone has any question as of the validity of the information presented here any stock broker financial planner or certifed public account or any investor that knows how to value stocks will confirm everything presented here.

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