Finding Quality Companies

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Finding Quality Companies

• Presented by
• Lynn Ostrem, President Crow River Investment
  Clubwww.bivio.com/crowriver

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The Business Cycle of a Company
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Stages of a Company

• Start-up (just an idea)
• Speculative (no earnings yet)
• Explosive Grower (small cap mid cap)
• Moderate Grower (large cap)
• Mature (income stock)

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Graph from Take Stock by Ellis Traub, Investware,
Inc.
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What Makes a Quality Company?
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What Makes a Quality Company?

• Easy-to-understand business model?
• Are its products or services unique?
• Is there a demand for its products and services?
• Does its industry have a future?
• Do its products and services have room to expand?

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Where do we find companies to study?
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Buy what you know!

• Food
• Appliances
• Toiletries (shampoo, shaving cream)
• Clothes, shoes
• Linens, throws towels
• Electronics (TVs, Stereos, Computers, alarm
  clocks)
• Furniture
• Décor (candles, knickknacks, etc.)
• Lawnmower, garden hoses
• Golf clubs, baseball bats, etc.

• Where do you shop?
• Where do you eat?
• What are your hobbies?
• Where do you buy your childrens clothes toys?
• Where do you buy your own clothes?
• Where do you go on vacation? How do you get
  there?
• Who insures your car?
• Where do you bank?
• Where do you buy your prescriptions?

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Online Newspapers

• New York Timeswww.nytimes.com
• Wall Street Journalwww.wsj.com
• Investors Business Dailywww.investors.com
• USA Todaywww.usatoday.com

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Financial Magazines

• Money
• Smart Money
• Fortune
• Forbes
• Kiplingers Personal Finance
• Worth

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Find em online!

• Money www.money.com
• Smart Money www.smartmoney.com
• Fortune www.fortune.com
• Forbes www.forbes.com
• Kiplingers www.kiplinger.com
• Worth www.worth.com

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Want MORE Magazine??

• http//dir.yahoo.com/
• Click on News Media
• Click on Magazines
• 3,800 to choose from!

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Daily News Online

• http//finance.yahoo.com (Financial News)
• www.moneycentral.com (Investing/Articles)
• www.cbsmarketwatch.com (quick updates)
• www.fool.com (Todays Headlines)
• www.businessweek.com (Daily Briefing)

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Good Old Standbys

• Value Line Investment Survey
• At the library
• Selections Opinions Guide has Portfolios
• Standard Poors Stock Reports
• Also at the Library
• Dont forget SP Outlook Review Weekly
  newsletter full of ideas

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More Sources for Stock Ideas?

• CEO Express www.ceoexpress.com
• Wall Street Executive Librarywww.executivelibrary
  .com
• Traders Worldwww.tradersworld.com/links
• The Online Investorwww.theonlineinvestor.com

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CEOExpress.com
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ExecutiveLibrary.com
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Tradersworld.com
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TheOnlineInvestor.com
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NAIC-Type Stock Ideas
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NAIC-Type Stock Ideas

• BI Magazine Stock to Study
• BI Magazine Undervalued Stock to Study
• BI Website BI Most Active (Stocks page)
• I-Club-List NAICs discussion board
• NAIC Forum on CompuServe

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NAIC-Type Stock Ideas

• NAIC Top 100 (Every April see BI Archives)
• Roster of Quality www.iclub.com
• Investor Advisory Service www.iclub.com
• Tin Cup Portfolio www.manifestinvesting.com
• Motley Fool Hidden Gems www.fool.com

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NAIC-Type Stock Ideas
Most Active Articles
Top 100Stocks to study
Discussionboards/articles
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NAIC-Type Stock Ideas
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NAIC-Type Stock Ideas
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So, when someone tells you they cant find a
stock to study
Tell emYou just arent trying!
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Show em these resources! Your club will think
youre a genius!
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Questions??

• Presentation written by
• Lynn Ostrem, PresidentCrow River Investment
  Clubwww.bivio.com/crowriver