17. The Growth Investing Process
Most investors look for growth stocks because they offer potentially higher gains than value plays. However, since almost all hot growth stocks eventually stumble, growth investors must constantly check for clues of an impending problem, and be prepared to react quickly.
Concentrate on the Strongest Candidates
Every generation has its success stories: the Microsofts, Googles, Hansen Naturals, and Intuitive Surgicals that seemingly came out of nowhere to score massive price gains that made their shareholders rich.
For many growth investors, finding the next Google is the Holy Grail. But you don’t have to find the next Google to be a successful growth investor.
In the end, share prices follow earnings. If you ...
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