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Before diving into stock screening, it's essential to clarify your investment objectives. Whether you're geared towards dividends and income, pursuing growth, or targeting value investments, understanding your goals is critical. The screening process can be tailored to reflect these objectives, enabling you to focus on options that align with your investment style.
Different Approaches to Screening
When beginning stock screening, there are three primary approaches instrumental for identifying potential investment candidates:
- Rising Financial Metrics: Investors often seek stocks that demonstrate consistent growth in revenue, earnings, and cash flow. These metrics provide a clear picture of financial health and operational success.