Probably the most popular investing and stock market website available. I have learned a tremendous amount during my visits - its hard to take it all in there's so much information. This page gives you an introduction to the "Fool" - what's available and summaries of things I have learned. Sort of the "Cliff Notes for The Motley Fool." |
The Motley Fool's mission is to
educate, amuse and enrich the individual investor. The Fool is founded on a few basic
notions: ![]() ![]() ![]() |
Navigating The Fool
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FoolWire
The Motley Fool's FoolWire offers an
educational and informative look at the day's stories about public-traded companies. The
goal of each Fool News story is not just to tell you what happened, but to go deeper and
say why it happened and what might happen next as a result. Designed to educate and
inform, FoolWire is an invaluable part of any investor's search to figure out why stocks
have moved in price and whether or not the move represents an investment opportunity. FoolWire is culled from the Motley Fool's Lunchtime, Evening NewsFeatures and Conference Call Synopses each day. |
FoolSchool
The 13 Steps to Investing Foolishly keep you
smiling through subjects such as opening a brokerage account and investing for growth. In
the Fool School, the you are guided through courses like How to Value Stocks and the Dow
Dividend Approach. The Foolish investment strategy is reflected in the Gardners' portfolio
of traditional Dow stocks with high-tech holdings for growth. Enjoy! |
The Lessons (just my notes) or What The Fool Taught Me
![]() Young growing companies often do not have a history of earnings - earnings are what's commonly used to evaluate a company. If there are no earnings - you can use the PSR. This ratio takes the market capitalization of a company and divides it by the last 12 mo. revenues. The market capitalization is the current value that the market is giving the company - you multiply the current share price by the number of shares outstanding. If a company has 10 million shares outstanding, at $10 a share, then its market cap. is $100 million. If it had $200 million in sales over the last 4 qtrs., its PSR would be 0.50 ($100 million divided by $200 million equals 0.50) You are measuring how much you are paying for a dollar of sales instead of a dollar of earnings (the P/E ratio). Remember sales growth is great, revenues must be transformed into rising earnings - how much a company earns off its sales will eventually drive up the values of the stock.
More "Fool
Notes" will be posted |