Stock Comparison Guide
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Transcript of Stock Comparison Guide
Stock Comparison Guide
NAIC Classic
NAIC recommended to teach you, step-by-step, the NAIC way
Stock Comparison Guide
Stock Comparison Guide
Keys to comparing:
Compare companies in the same industry
Use current SSGs in the comparison
Review the computer’s selections for ‘best’
Make your own judgments
SCG - Load Companies
Go File/New/SCG
Click Industry header to sort database list
Select up to 5 companies for comparison
SCG - Compare Companies
Note score for ‘bests’
Review each line item
Click cell to change highlighting
Scroll to see all data
Revisit ‘bests’ score after judgment
SCG - What to Look For?
Choose company that meets your investing objectives:
Growth? More or less risk?
(Over time) a diverse and balanced portfolio
Data comes from your SSGs and depends upon your judgment
Growth: past and future
Management: 5-year averages
Price: value items / some provide context for current values
Other: variety of informational items
Optional: choose from list or set own
SCG - What to Look For?
SCG - Growth
Past and future
Higher growth is normally better
Growth should fit your goals
SCG - Management
Measures quality of management
% profit margin before taxes
% earned on equity
% owned by management (data missing)
SCG - Price
Value assessments
Not all lines need be highlighted
e.g. price ranges, P/E ratios, price zones
Right-click on row for What’s This? help
SCG - Other
Characteristics: growth, quality, value, & safety
Some cells are informational / not judgment items
Lines 27 & 28 are optional choices
SCG - Save Comparisons
Go File/Save/SCG
All data & judgments will be saved
Retrieving original SCG will display original studies
Right-click SCG to refresh data from updated studies
From Company to SCG
File /New or Open/Stock Comparison Guide
File/select from last 5 items saved
From open company:
View/SCG menu item
Main Page Prompt window/ Comparison Guide
SCG - Summary
Select up to 5 companies
Apply judgment to computer-selected ‘bests’
Conclude which company has the most ‘bests’ and meets your goals
Save
Use Help features for assistance
Created by STB Investor Software Inc.
NAIC Classic
NAIC recommended to teach you, step-by-step, the NAIC way