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Summary of Understanding Value

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Summary of Understanding Value

Finding great companies is only half the equation in picking stocks. Figuring out an appropriate price to pay is just as important to your investment success. A great company might not be a great investment if its stock is too expensive. Likewise, a company of mediocre quality could be a good investment if bought cheaply enough. Either way, it’s critical to be aware of the prices you are paying for your stock investments.

What you have learned

  1. Why Valuation Matters
  2. Measuring Market Capitalization
  3. The Meaning of Stock Values
  4. Two Approaches to Stock Valuation

Find out what you have learned