Investment Analysis

I acknowledge that evaluating a company’s management team can be a challenging task, as it is not easily measurable. However, forming an opinion on the quality of a company’s management is crucial to make informed judgments and comparisons. In my due diligence process, I consider the following questions: 10 Management Evaluation Questions Are the company’s … Read more

Management compensation refers to the total amount of salaries, bonuses, shares, stock options, and other benefits earned by a company’s management team within a specific period, often a fiscal year. As long as the compensation is reasonable, shareholders are unlikely to complain about the amount paid. Since I primarily invest in American and Canadian listed … Read more

When analyzing a stock for a possible investment, one key requirement is to assess the quality of the company’s management team. Board of Directors The Chairman of the Board is the highest officer of the board, responsible for presiding over meetings and conducting the group’s business in an orderly fashion. The Vice-Chairman, who is subordinate … Read more

One of the main purposes of a management assessment is to evaluate whether the goals outlined in the Management’s Discussion and Analysis (MD&A) have been achieved. To do so, it is necessary to compare the accomplished results from the latest MD&A with the preset goals from the prior MD&A. For a more extensive assessment, older … Read more

As easy-to-extract mineral resources become increasingly scarce, investors in the energy and mining sectors are turning to companies with resource projects worldwide. When investing in a company operating in an unknown jurisdiction, it’s crucial to conduct a country risk assessment as part of your due diligence. My Preferred Resources for Analyzing a Stock’s Country Risk … Read more

Equity research firms may use different stock recommendation systems, which can be confusing for investors. To help clarify these ratings, the following reference table explains the different stock ratings used by equity research analysts: Stock Rating Explanation Positive Strong Buy / Top Pick These companies are believed to have the highest potential to outperform the … Read more

The January effect, also known as the turn-of-the-year effect, is a phenomenon in which (small) stock prices tend to increase during the month of January. It was first documented by investment banker Sidney B. Wachtel, who studied seasonality in the Dow Jones index from 1927 to 1942 and found that (small) stocks outperformed the broader … Read more