The CANSLIM approach
William O'Neil was an American stock broker, founder of Market smith and a very successful trader. He became popular for the invention of the CANSLIM approach where he combined technicals and fundamentals to beat the market by a wide margins. This blog will aim to discuss and explain the CANSLIM approach in detail. disclaimer: most of the opinions are of William O'Neil which I have read and taken from his books. I will explicitly mention 'I' when I give my opinion. Explosive stock moves follow explosive earnings. O'Neil says that even an 8-10% increase in EPS should not be enough to move the needle; the growth has to be explosive! I would suggest looking for businesses displaying a minimum increase of 30-35%. EPS is the single most important metric to determine a business's trajectory. Even a value buy is only if the growth resumes or increases. Omit the one-time gains Investors should not be influenced or atrracted to non recurring revenue. A non recurring revenue could be something l
William O'Neil was an American stock broker, founder of Market smith and a very successful trader. He became popular for the invention of the CANSLIM approach where he combined technicals and fundamentals to beat the market by a wide margins. This blog will aim to discuss and explain the CANSLIM approach in detail. disclaimer: most of the opinions are of William O'Neil which I have read and taken from his books. I will explicitly mention 'I' when I give my opinion. C: Current big or Accelerating quarterly earnings per share. Explosive stock moves follow explosive earnings. O'Neil says that eve
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