9 Characteristics To Look At When Valuing Growth Stocks

Keep track of stocks you may be interested in. Keep it relatively short and reevaluate every so often.

You want business that are going to double or triple your money.

Revenue must be growing year over year and by a healthy amount.

Grow stocks generally have a strong leader that is motivated and has vision for the future of the business. Zuckerberg.

Grow can often mean that business is reinvesting it revenue back into the growth of the business. The business many not be profitable right now, but they definitely should not be losing too much money.

Eventually the business needs to make money. It should not lose money forever.

The best businesses survive and thrive even through hard times.

The industry as a whole should be growing.

There should be a really big vision for a growth company like Restoration Hardware or Amazon.

Apple does this well. The growth business should be really careful about how many employees and invest in projects that have a real chances of bringing the business new revenue.