hello friends, in today’s article we see chapter 17 of the intelligent investor book. In this chapter 17 benjamin gram give four extremely instructive case studies of the company. so let’s see chapter 17 of the intelligent investors in detail.
Four Extremely Instructive Case Studies:-Intelligent Investor: Chapter 17
Benjamin gram gives the four company case study which can help you to identify good stocks. let’s see
- Company one: This company is a big joint, and well in trends, and everyone is attracted to this company. Everyone thinks they get a good return from it and that why its company goes overpriced. So the author gives the advice to stay away from it.
- Company second: This company is taking the debt to acquire the other company. so check for the companies financial statement. and this type of company is a big joint but they taking dept. So stay away from it.
- Company third: This company is also taking the dept to beat the big company which has a competitive advantage, so stay away from it.
- Company four: This company is starting phase and start with its IPO and they get the overprice for their promises. They don’t have any experience but people start buying company shares by believing in the company’s promises. So stay away from this company also. (Intelligent Investor: Chapter 17)
so moral of the story as follows
Moral of the story:
- Do the elementary job of going through annual reports extensively.
- people are speculative, so don’t go with him, because they don’t do any analysis and if sometimes yes then they only look at an overview of financial statements.
- Do research like compare each other between company.
so doing any investment do whole research like buying any refrigerator for your home.
This is all about chapter 17 of the intelligent investor book.
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