The rules of the game are really really easy folks:
- Look for a good company. Good = owner’s earnings growth, no debt.
- If company is good, calculate price using discounted cash flow.
- Buy if price is lower with 30-70% of calculated price.
- Sell of price is at 95% of calculated price.
Why are so few people doing this??? Here I give a more in depth analysis, using Skyworks as an example.