How to find the best turnaround shares

Fsp Invest, 08 Oct. 2013

Tags: turnaround shares, fundamental analysis, investing, how to find turnaround shares.

One of the best ways to make money in the stock market is to spot stocks to buy with high growth potential before analysts and the big investment firms recognise these budding winners. One way to do that is to shop for companies that have been losing money but are showing signs of profitability - "turnaround" shares. Let’s take a closer look at how to find the best turnaround shares…

The ideal turnaround stocks will surprise to the upside and return long-term profits, Tim Melvin in Money Morning US explains...

But there's more to it than a rebound in profits and revenue - the best turnaround shares to buy also have undervalued share prices.

Investing in rags-to-riches stocks means choosing those that are not mainstream.

Invest in the shares that market analysts and traders overlook

That means look for stocks that are set to enter a strong growth period, but are under-owned by the large institutions. Then, when the larger institutions do recognise their financial strengths, your portfolio will be in the perfect place to enjoy the surge in stock prices.

You want to keep an eye out for companies that are about to stage an earnings breakout and enter a strong growth phase. Also, you need to see if the company is making money,

Make sure look at forecasts for the share you’re researching. The further into the future the projections are, the better. This means you have more data to work with.

So there you have it, how to find the best turnaround shares.

Related QA

d.c.heger asked:
MY QUESTION IS – I bought Bitcoin & Etherium some time ago – at first they grew nicely but now they are lower than what I paid for them. Should I [read more]
Published at 04 Apr. 2018 in: Investing 5 shares due to rocket 1 Answer
kavesh.maharaj.73 asked:
Hi Josh. I would like some advice on TFSA. I can get an interest rate of 7.8% nominal at a bank if I invest the R33k upfront in a fixed deposit [read more]
Published at 19 Mar. 2018 in: Investing Tax free savings vehicle 2 answers
kavesh.maharaj.73 asked:
Hi Josh Quantum wants to buy back shares from shall investors at what I think is a low price of around R3.86. You tipped the share in February [read more]
Published at 14 Mar. 2018 in: Investing Real wealth 5 answers
elizastrydom asked:
Hi Timon I am interested in registering for your Red Hot Storm Trader service. I am already a Red Hot Penny Shares investor. My question is [read more]
Published at 28 Feb. 2018 in: Investing Trading platform and broker 1 Answer
ManuE asked:
I have an interest in investing in Bitcoin, I just don't know how. If I buy Bitcoin with R15 000, how much can make (Return On Investment)? [read more]
Published at 25 Feb. 2018 in: Investing Investment 1 Answer

Related articles:




Youtube Twitter Facebook

Connect with us:    

  • Accelerated Investor
  • Accessories
  • Accountancy
  • Accountancy services