Stock Picking like a Professional | Intuit Example

#stockinvesting #intuit

In this video I will show you a straightforward technique to check whether a stock is worth buying or not using 6 key financial metrics. These are: Operating Margin, Dividend Yield, Dividend Cover, Debt/EBITDA, P/E ratio and PEG ratio. These ratios allow us to easily check the profitability, potential income distribution, solvency and valuation. As an example, I will use Intuit throughout this video. Intuit operates in the financial software space and develops applications for calculating taxes for small businesses and individuals. In my opinion this is a classical example of quality stock, apparently overvalued but with excellent growth prospects both when considered in absolute terms and relative to competition.

Chapters

0:00 Intro
0:26 Intuit
0:42 Operating Margin
2:14 Dividend Yield
3:34 Dividend Cover
5:09 Debt/EBITDA
6:02 Valuation Ratios
6:27 P/E Ratio
7:21 PEG Ratio