How to pick a stock: Andy Tanner’s Actual Criteria
Rich Dad's StockCast with Andy Tanner
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Earnings Before All This Other Crap
We take the total enterprise value on the top number. We put the EBIT on the bottom and we want that to be less than 10. The last criteria we have is price earnings growth, which calls a peg. So I hit this, bam, and here Yahoo Finance gives me, I don't know, 25 rows here and however many pages, 175 companies right there. That's kind of manageable. And then what we can do is we might sort this according to which one pays the largest dividend maybe. And then we start looking at stock charts.
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