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      Top 5 Textile stocks

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      multi-bagger stocks for 2025

      5 Multibagger Stocks to keep an eagle-eye for 2025

      Jindal Saw – Strong Earnings Momentum Ahead

      Jindal Saw – Strong Earnings Momentum Ahead

      Kirloskar Group- A Legacy of 134 Years

      Kirloskar Group- A Legacy of 134 Years

      renewable energy stocks in india

      Top Renewable Energy Stocks in India

      blue chip stocks

      Top 5 Blue Chip Stocks to Buy and Invest in 2023

      Budget 2023: Stocks to keep an eye on

      Budget 2023: Stocks to keep an eye on

      Adani Enterprises FPO: Detailed Analysis, GMP and Review?

      Adani Enterprises FPO: Detailed Analysis, GMP and Review?

      Top 5 Defence Stocks to Invest in India

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    • Technical Analysis
      Chart Patterns – Holy grail of Stock Market Analysis

      Chart Patterns – Holy grail of Stock Market Analysis

      StockEdge Version Update : 9.0

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      Beat the street with Sector Rotation Strategy

      Beat the street with Sector Rotation Strategy

      StockEdge Version Update 8.2

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      Derivative Analytics

      An Insightful Research Tool For Derivative Analytics

      Introducing Put-Call Ratio a Derivative Indicator in the Market

      Introducing Put-Call Ratio a Derivative Indicator in the Market

      A Powerful Technical Indicator Beta & Beta Scans

      A Powerful Technical Indicator Beta & Beta Scans

      Technical Analysis using Edge Charts

      Technical Analysis using Edge Charts

      adaptive relative strength and static relative strength scans

      What is Adaptive Relative Strength & Static Relative Strength Scans?

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      high dividend paying stocks

      Identifying High Dividend Paying Stocks

      Understanding the Importance of creating Fundamental Scans

      Understanding the Importance of creating Fundamental Scans

      Using My Combination Scan to Identify best in an Industry

      Using My Combination Scan to Identify best in an Industry

      Cost Income ratio

      Cost to Income Ratio(%)

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      Cost of Liabilities (%)

      Operating Cost to Assets Ratio (%)

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      Chart Patterns – Holy grail of Stock Market Analysis

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      StockEdge Version Update : 9.0

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      What are Value Funds and its Advantages?

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      thematic funds

      Thematic Funds : Everything you need to know

      Understanding Sector Funds and their Benefits to our Portfolio

      Understanding Sector Funds and their Benefits to our Portfolio

      Are Dividend Yield Funds a good option to invest in?

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      Identify growth companies for Long term Investment

      Identify growth companies for Long term Investment

      StockEdge by StockEdge
      April 1, 2020
      Reading Time: 4 mins read
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      Table of Contents

      • My Combination Scan
      • How to create My Combination Scan
      • PARAMETERS FOR GROWING COMPANIES
      • Conclusion

      Growth investing is an investment strategy that focuses on businesses that have great potential to grow. Growth investors typically invest in growing companies, that is, young companies whose earnings are expected to increase at an above-average rate compared to their sector or the overall market.

      Growth investing is highly attractive to many investors because buying stocks in emerging companies can give impressive returns if the company becomes successful. They typically look for investments in rapidly expanding sectors where new technologies and services are being developed.

      Mostly, growing companies reinvest their earnings back into the business, rather than pay a dividend to shareholders. The idea is that the company will prosper and expand, and this growth in revenue and earnings will eventually translate into a higher share price in the future.

      Growth investors look at key factors when evaluating stocks. These are Historical earnings growth, future earnings growth, Operating margins, return ratios etc.

      By using the My Combination Scan under My StockEdge feature you can filter out the growing companies.

      My Combination Scan

      StockeEdge App allows its Premium Members to build their combination scans by using the various scans available, under the seven broad scan parameters. However, one needs to keep in mind that only 10 scans under the broad parameters can be incorporated in a single combination scan.

      How to create My Combination Scan

      First, click on My Combination Scan under My StockEdge. Thereafter, click on plus sign shown on right hand side once done it takes you to another page where u need to name the scan, as per your preference, and then again click on plus sign.

      Next click on the scan name, this will lead you to a blank page with a plus sign on the right corner. By clicking on the plus sign, you can add scans of your preference

      Image 2

      PARAMETERS FOR GROWING COMPANIES

      For growth scan, we have chosen 6 scan parameters which are

      1. Improved Return on capital employed
      2. Quarterly Net Profit Growth YoY
      3. Quarterly EBITDA Growth YoY
      4. High Increase in Quarterly sales growth YoY (Result)
      5. High Sales Growth Ratio (Annual Report)
      6. Increasing cash from operations.
      Growing companies list

      Once you have added the preferred scan parameters, thereafter click on ‘stocks’. This will provide you with the list of all growth stocks. For eg:- Improved Return on Capital Employed is a measurement of profitability, a company can improve its ROCE through the same processes that it undertakes to improve its overall profitability. The most obvious place to start is by reducing costs or increasing sales.

      Similarly, Positive (and increasing) cash flow from operating activities indicates that the core business activities of the company are thriving. It provides as additional measure/indicator of profitability potential of a company, in addition to the traditional ones like net income or EBITDA.

      Very Few companies manage to qualify the above scans and these companies are able to grow just because they are able to improve their efficiency and innovate with time and capture market share from its peers.

      For long term investment in these companies, the investors also need to understand the management well and believe in the business strategy of the company. Diversifying the invested capital across different sectors and patiently holding the investments has created a lot of wealth for long term investors over the years.

      You can also choose filters, available in the filter section, to see the growth stocks in different sectors, which you are expecting to perform well in future as given in the example below

      Conclusion

      Now use StockEdge Web to make your analysis faster, better and easier within minutes. You can use any 10 scans of your choice and filter stocks and get going.

      So, what are you waiting for, Subscribe to our Premium version of StockEdge Web and become a smart investor.

      Tags: combination scansfinancial analysisFundamental analysisFundamental scansFundamental StocksMy Combination ScansStockedge appStockedge featureStockEdge Scan
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