- Sales Revenue YOY Growth > 10%
- Net Profit Margin YOY Growth > 10%
- Cash Flow > 10%
- Operating Cash Flow is growing YOY
- Net Profit Margin > 10%
- Low debts or Net cash
- Long Term Debt < 3 x Net Profit
- Current Ratio > 1
- ROA > 10%
- ROE > 15%
# YOY = Year Over Year
# The company has to meet the criteria consistently YOY
# Please check the link on the right under Education & Tools for financial ratio explanation & definition
This Post Has 2 Comments
Do you consider to include Price / NTA under the Financial Health.
I don’t really look for Price / NTA because this ratio does not reflect the strength of the company and the sustainability of the business.